WASHINGTON – Fannie Mae earned $1.8 billion from July through September, helped by an improving housing market that has lifted home prices, its third straight quarterly profit.
The secondary mortgage market giant yesterday said it paid a dividend of $2.9 billion to the U.S. Treasury and sought no additional federal aid, a day after Freddie Mac also reported a third quarter profit and no additional bailout needs.
Fannie’s third quarter profit compares with a net loss of $5.1 billion in the same period last year.
“We are seeing signs of sustained improvement in housing,” said Timothy Mayopoulos, Fannie’s president. “Our financial condition has improved markedly.”
Taxpayers have spent about $116 billion to rescue Fannie since its 2008 government takeover, along with Freddie. So far, the company has repaid the government $23 billion.
Freddie Mac on Tuesday said it earned $2.9 billion in the July-September quarter and paid a dividend of $1.8 billion to the U.S. Treasury. It was Freddie’s fourth straight profitable quarter.