Freddie Mac recently announced that it is increasing investor transparency by adding loan-level actual loss data to its Single Family Loan-Level Historical Dataset.
The enhanced dataset will increase transparency, which helps investors build more accurate credit performance models in support of the company’s Single-Family credit risk offerings.
“It is important for investors to have this expanded view of credit risk, especially as we continue to grow and evolve our credit risk offerings,” says Kevin Palmer, vice president of single-family strategic credit costing and structuring for Freddie Mac. “Having data openly available in the marketplace allows us to expand the amount of risk transferred to private investors.
“We expect to introduce an actual loss credit offering in our ACIS reinsurance and STACR programs next year. We are releasing this data now to give potential credit investors sufficient time to get familiar with Freddie Mac’s actual loss performance.”
In addition to such loan level loss information as expenses and recoveries, the dataset contains loan-level credit performance data on 30-year fixed-rate single-family mortgages. It excludes data on adjustable-rate mortgages, balloon mortgages, initial interest mortgages, government-insured mortgages, relief refinancing mortgages (including Home Affordable Refinance Program, or “HARP”) and other affordable or non-standard mortgages.
The dataset covers approximately 17 million 30-year, fixed-rate, single-family mortgages originated between January 1, 1999, and June 30, 2013. Actual loss and monthly loan performance data, including credit performance information up to and including property disposition, is being disclosed through December 31, 2013.
The historical dataset was first made available in March 2013.
For more information, visit FreddieMac.com.
