Ginnie Mae reported $1.18 billion in net income for the fiscal year 2011, more than double the $541 million the year before. Ginnie guarantees timely payment of principal of interest on securities backed primarily by Federal Housing Administration and Veterans Affairs loans. The previous earnings high came at $906 million in 2008. Revenues slightly increased to $1.06 billion. “Ginnie Mae has had a remarkable year; it’s our best yet,” said Ginnie President Ted Tozer. “Our financial performance this fiscal year – despite a mortgage market still in turmoil – is a testament to our well-functioning business model.” Ginnie financed nearly 60% of all home purchases in its fiscal year ended 2011. It guaranteed $1.3 trillion or 4.8 million loans since the crisis struck in 2007. Lawmakers are currently working to restore private capital as the largest financier of U.S. mortgages. Combined with Fannie Mae and Freddie Mac, the government backs roughly 95% of all home loans. But while Fannie and Freddie continue to hemorrhage losses and require bailouts, Ginnie is breaking records. “Our business is simple, our approach to risk-taking is conservative, and our ability to finance government-insured mortgages is helping to keep the housing market afloat,” Tozer said. Write to Jon Prior. Follow him on Twitter @JonAPrior.
Ginnie Mae calls 2011 ‘best year yet’
Most Popular Articles
Latest Articles
HUD, USDA reach accord on energy-efficiency standard for new construction
The new initiatives aim to lower energy costs on a wide array of newly-constructed homes, according to HUD, USDA and FHA.
-
U.S. mortgage delinquency rates remain near historic lows: CoreLogic
-
HomeServices settles commission lawsuits for $250M
-
Kristen Sieffert leads the reverse mortgage presence at The Gathering
-
Industry vet launches new mortgage CE company, MLO Force
-
GAO highlights reverse mortgage counseling in new report