Mortgage giant Fannie Mae earned $1.8 billion from July through September, helped by an improving housing market that has lifted home prices.
The government-controlled company said Wednesday that it paid a dividend of $2.9 billion to the U.S. Treasury and sought no additional federal aid. It was Fannie’s third profitable quarter since being taken over by the government during the 2008 financial crisis. The gain compares with a net loss of $5.1 billion in the same period last year. “We are seeing signs of sustained improvement in housing,” Fannie President and CEO Timothy Mayopoulos said. “Our financial condition has improved markedly.”
The government rescued Fannie and smaller sibling Freddie Mac after both incurred massive losses on risky mortgages.