Ginnie Mae MBS issuance above $27 billion in August
Ginnie Mae guaranteed $27.7 billion in mortgage-backed securities in August, the same total as the previous month. The company guarantees timely payment of principal and interest on securities backed mostly by Federal Housing Administration and Veterans Affairs mortgages. In the first quarter, Fannie Mae, Freddie Mac and Ginnie combined for 97% of all MBS issuance as the private-label market remains dormant since the financial crisis of 2008. Ginnie's share was 22% in the first quarter, down from previous years since the housing market collapse, but up from a low of 4% in 2006, according to the FHA. "Ginnie Mae's continued high level of issuance activity provides liquidity to the marketplace and reflects the confidence our investors have in our mortgage-backed securities," said President Ted Tozer. "Through our partnerships with investors and lenders, Ginnie Mae leverages private capital to make homeownership opportunities available across the nation." Ginnie Mae II single-family pools totaled $17.75 billion in August, down slightly from the previous month. Ginnie Mae I single-family pools totaled $7.67 billion. Ginnie issuance of Home Equity Conversion Mortgages, or reverse mortgages, totaled $844 million, a 12% drop from the previous month. The issuance of multifamily MBS reached more than $1.5 billion. Write to Jon Prior. Follow him on Twitter @JonAPrior.