Fair Value (Tables)

12 Months Ended

Dec. 31, 2015

Recurring Changes in Fair Value [Table Text Block]

The following tables display our assets and liabilities measured in our consolidated balance sheets at fair value on a recurring basis subsequent to initial recognition, including instruments for which we have elected the fair value option.



		Fair Value Measurements as of December 31, 2015
	Quoted Prices in Active Markets for Identical Assets (Level 1)			Significant Other Observable Inputs (Level 2)			Significant Unobservable Inputs (Level 3)			Netting Adjustment⁽¹⁾				Estimated Fair Value
		(Dollars in millions)
Recurring fair value measurements:
Assets:
Trading securities:
Mortgage-related securities:
Fannie Mae		$	—		$	4,813		$	—		$	—			$	4,813
Freddie Mac		—			1,314			—			—				1,314
Ginnie Mae		—			426			—			—				426
Alt-A private-label securities		—			131			305			—				436
Subprime private-label securities		—			—			644			—				644
CMBS		—			2,341			—			—				2,341
Mortgage revenue bonds		—			—			449			—				449
Non-mortgage-related securities:
U.S. Treasury securities		29,485			—			—			—				29,485
Total trading securities		29,485			9,025			1,398			—				39,908
Available-for-sale securities:
Mortgage-related securities:
Fannie Mae		—			4,221			—			—				4,221
Freddie Mac		—			4,295			4			—				4,299
Ginnie Mae		—			391			—			—				391
Alt-A private-label securities		—			1,637			1,041			—				2,678
Subprime private-label securities		—			—			3,281			—				3,281
CMBS		—			1,255			—			—				1,255
Mortgage revenue bonds		—			—			2,701			—				2,701
Other		—			—			1,404			—				1,404
Total available-for-sale securities		—			11,799			8,431			—				20,230
Mortgage loans		—			12,598			1,477			—				14,075
Other assets:
Risk management derivatives:
Swaps		—			4,541			156			—				4,697
Swaptions		—			53			—			—				53
Other		—			—			28			—				28
Netting adjustment		—			—			—			(4,024		)		(4,024		)
Mortgage commitment derivatives		—			135			5			—				140
Total other assets		—			4,729			189			(4,024		)		894
Total assets at fair value		$	29,485		$	38,151		$	11,495		$	(4,024	)		$	75,107



		Fair Value Measurements as of December 31, 2015
	Quoted Prices in Active Markets for Identical Assets (Level 1)			Significant Other Observable Inputs (Level 2)			Significant Unobservable Inputs (Level 3)			Netting Adjustment⁽¹⁾				Estimated Fair Value
		(Dollars in millions)
Liabilities:
Long-term debt:
Of Fannie Mae:
Senior floating		$	—		$	10,764		$	369		$	—		$	11,133
Total of Fannie Mae		—			10,764			369			—			11,133
Of consolidated trusts		—			23,113			496			—			23,609
Total long-term debt		—			33,877			865			—			34,742
Other liabilities:
Risk management derivatives:
Swaps		—			8,697			20			—			8,717
Swaptions		—			197			—			—			197
Other		—			—			2			—			2
Netting adjustment		—			—			—			(8,650		)	(8,650		)
Mortgage commitment derivatives		—			148			10			—			158
Total other liabilities		—			9,042			32			(8,650		)	424
Total liabilities at fair value		$	—		$	42,919		$	897		$	(8,650	)	$	35,166



		Fair Value Measurements as of December 31, 2014
	Quoted Prices in Active Markets for Identical Assets (Level 1)			Significant Other Observable Inputs (Level 2)			Significant Unobservable Inputs (Level 3)			Netting Adjustment⁽¹⁾				Estimated Fair Value
		(Dollars in millions)
Assets:
Trading securities:
Mortgage-related securities:
Fannie Mae		$	—		$	4,635		$	305		$	—			$	4,940
Freddie Mac		—			1,369			—			—				1,369
Ginnie Mae		—			166			—			—				166
Alt-A private-label securities		—			323			597			—				920
Subprime private-label securities		—			—			1,307			—				1,307
CMBS		—			2,515			—			—				2,515
Mortgage revenue bonds		—			—			722			—				722
Other		—			—			99			—				99
Non-mortgage-related securities:
U.S. Treasury securities		19,466			—			—			—				19,466
Total trading securities		19,466			9,008			3,030			—				31,504
Available-for-sale securities:
Mortgage-related securities:
Fannie Mae		—			5,639			—			—				5,639
Freddie Mac		—			5,522			6			—				5,528
Ginnie Mae		—			476			—			—				476
Alt-A private-label securities		—			2,538			3,140			—				5,678
Subprime private-label securities		—			—			5,240			—				5,240
CMBS		—			1,397			—			—				1,397
Mortgage revenue bonds		—			—			4,023			—				4,023
Other		—			2			2,671			—				2,673
Total available-for-sale securities		—			15,574			15,080			—				30,654
Mortgage loans		—			13,796			1,833			—				15,629
Other assets:
Risk management derivatives:
Swaps		—			6,085			150			—				6,235
Swaptions		—			153			—			—				153
Other		—			—			28			—				28
Netting adjustment		—			—			—			(5,186		)		(5,186		)
Mortgage commitment derivatives		—			251			4			—				255
Total other assets		—			6,489			182			(5,186		)		1,485
Total assets at fair value		$	19,466		$	44,867		$	20,125		$	(5,186	)		$	79,272



		Fair Value Measurements as of December 31, 2014
	Quoted Prices in Active Markets for Identical Assets (Level 1)			Significant Other Observable Inputs (Level 2)			Significant Unobservable Inputs (Level 3)			Netting Adjustment⁽¹⁾				Estimated Fair Value
		(Dollars in millions)
Liabilities:
Long-term debt:
Of Fannie Mae:
Senior floating		$	—		$	6,040		$	363		$	—			$	6,403
Total of Fannie Mae		—			6,040			363			—				6,403
Of consolidated trusts		—			18,956			527			—				19,483
Total long-term debt		—			24,996			890			—				25,886
Other liabilities:
Risk management derivatives:
Swaps		—			9,339			133			—				9,472
Swaptions		—			991			—			—				991
Other		—			—			1			—				1
Netting adjustment		—			—			—			(10,194		)		(10,194		)
Mortgage commitment derivatives		—			341			3			—				344
Total other liabilities		—			10,671			137			(10,194		)		614
Total liabilities at fair value		$	—		$	35,667		$	1,027		$	(10,194	)		$	26,500

__________


⁽¹⁾	Derivative contracts are reported on a gross basis by level. The netting adjustment represents the effect of the legal right to offset under legally enforceable master netting arrangements to settle with the same counterparty on a net basis, including cash collateral posted and received.

Fair Value Measurements Using Significant Unobservable Inputs (Level 3) [Table Text Block]

The following tables display a reconciliation of all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3). The tables also display gains and losses due to changes in fair value, including both realized and unrealized gains and losses, recognized in our consolidated statements of operations and comprehensive income for Level 3 assets and liabilities. When assets and liabilities are transferred between levels, we recognize the transfer as of the end of the period.



	Fair Value Measurements Using Significant Unobservable Inputs (Level 3)
	For the Year Ended December 31, 2015
				Total Gains (Losses) (Realized/Unrealized)																												Net Unrealized Gains (Losses) Included in Net Income Related to Assets and Liabilities Still Held as of December 31, 2015⁽⁵⁾⁽⁶⁾
	Balance, December 31, 2014			Included in Net Income				Included in Total Other Comprehensive Income (Loss)⁽¹⁾				Purchases⁽²⁾		Sales⁽²⁾			Issues⁽³⁾			Settlements⁽³⁾			Transfers out of Level 3⁽⁴⁾			Transfers into Level 3⁽⁴⁾			Balance, December 31, 2015
	(Dollars in millions)
Trading securities:
Mortgage-related:
Fannie Mae	$	305		$	(27	)			$	—		$	—	$	(2	)	$	—		$	—		$	(278	)	$	2		$	—			$	—
Alt-A private-label securities	597			36					—			—		(267		)	—			(45		)	(44		)	28			305				15
Subprime private-label securities	1,307			36					—			—		(611		)	—			(88		)	—			—			644				10
Mortgage revenue bonds	722			(41		)			—			—		(220		)	—			(12		)	—			—			449				(33		)
Other	99			4					—			—		(100		)	—			(3		)	—			—			—				—
Total trading securities	$	3,030		$	8		(6)(7)		$	—		$	—	$	(1,200	)	$	—		$	(148	)	$	(322	)	$	30		$	1,398			$	(8	)

Available-for-sale securities:
Mortgage-related:
Fannie Mae	$	—		$	—				$	—		$	421	$	(425	)	$	—		$	(8	)	$	—		$	12		$	—			$	—
Freddie Mac	6			—					—			—		—			—			(1		)	(2		)	1			4				—
Alt-A private-label securities	3,140			215					(173		)	—		(1,504		)	—			(436		)	(538		)	337			1,041				—
Subprime private-label securities	5,240			599					(382		)	—		(1,575		)	—			(601		)	—			—			3,281				—
Mortgage revenue bonds	4,023			51					(104		)	—		(410		)	—			(859		)	—			—			2,701				—
Other	2,671			(26		)			(2		)	—		(1,012		)	—			(227		)	—			—			1,404				—
Total available-for-sale securities	$	15,080		$	839		(7)(8)		$	(661	)	$	421	$	(4,926	)	$	—		$	(2,132	)	$	(540	)	$	350		$	8,431			$	—

Mortgage loans	$	1,833		$	57		(6)(7)		$	—		$	5	$	—		$	—		$	(350	)	$	(377	)	$	309		$	1,477			$	(20	)
Net derivatives	45			(55		)	(6)		—			—		—			(4		)	169			(7		)	9			157				(2		)
Long-term debt:
Of Fannie Mae:
Senior floating	$	(363	)	$	(6	)			$	—		$	—	$	—		$	—		$	—		$	—		$	—		$	(369	)		$	(6	)
Of consolidated trusts	(527		)	(9		)			—			—		—			(66		)	57			228			(179		)	(496		)		17
Total long-term debt	$	(890	)	$	(15	)	(6)		$	—		$	—	$	—		$	(66	)	$	57		$	228		$	(179	)	$	(865	)		$	11



	Fair Value Measurements Using Significant Unobservable Inputs (Level 3)
	For the Year Ended December 31, 2014
				Total Gains (Losses) (Realized/Unrealized)																												Net Unrealized Gains (Losses) Included in Net Income Related to Assets and Liabilities Still Held as of December 31, 2014⁽⁵⁾⁽⁶⁾
	Balance, December 31, 2013			Included in Net Income				Included in Total Other Comprehensive Income (Loss)⁽¹⁾				Purchases⁽²⁾		Sales⁽²⁾			Issues⁽³⁾			Settlements⁽³⁾			Transfers out of Level 3⁽⁴⁾			Transfers into Level 3⁽⁴⁾			Balance, December 31, 2014
	(Dollars in millions)
Trading securities:
Mortgage-related:
Fannie Mae	$	42		$	(27	)			$	—		$	6	$	—		$	—		$	(2	)	$	(39	)	$	325		$	305			$	(18	)
Freddie Mac	2			—					—			—		—			—			—			(2		)	—			—				—
Alt-A private-label securities	618			88					—			—		(58		)	—			(81		)	(226		)	256			597				97
Subprime private-label securities	1,448			270					—			—		(241		)	—			(170		)	—			—			1,307				234
Mortgage revenue bonds	565			168					—			—		—			—			(11		)	—			—			722				160
Other	99			13					—			—		—			—			(13		)	—			—			99				13
Total trading securities	$	2,774		$	512		(6)(7)		$	—		$	6	$	(299	)	$	—		$	(277	)	$	(267	)	$	581		$	3,030			$	486

Available-for-sale securities:
Mortgage-related:
Fannie Mae	$	7		$	—				$	—		$	—	$	—		$	—		$	(1	)	$	(8	)	$	2		$	—			$	—
Freddie Mac	8			—					—			—		—			—			(1		)	(2		)	1			6				—
Alt-A private-label securities	3,791			172					(26		)	—		(393		)	—			(471		)	(1,738		)	1,805			3,140				—
Subprime private-label securities	7,068			447					301			—		(1,730		)	—			(846		)	—			—			5,240				—
Mortgage revenue bonds	5,253			(32		)			554			—		(70		)	—			(1,682		)	—			—			4,023				—
Other	2,885			19					103			—		—			—			(336		)	—			—			2,671				—
Total available-for-sale securities	$	19,012		$	606		(7)(8)		$	932		$	—	$	(2,193	)	$	—		$	(3,337	)	$	(1,748	)	$	1,808		$	15,080			$	—

Mortgage loans	$	2,704		$	260		(6)(7)		$	—		$	36	$	—		$	—		$	(344	)	$	(1,113	)	$	290		$	1,833			$	53
Net derivatives	(40		)	103			(6)		—			—		—			—			(21		)	(2		)	5			45				77
Long-term debt:
Of Fannie Mae:
Senior floating	$	(955	)	$	(142	)			$	—		$	—	$	—		$	(750	)	$	19		$	1,465		$	—		$	(363	)		$	(97	)
Of consolidated trusts	(518		)	(53		)			—			—		—			(1		)	62			111			(128		)	(527		)		(49		)
Total long-term debt	$	(1,473	)	$	(195	)	(6)		$	—		$	—	$	—		$	(751	)	$	81		$	1,576		$	(128	)	$	(890	)		$	(146	)



	Fair Value Measurements Using Significant Unobservable Inputs (Level 3)
	For the Year Ended December 31, 2013
				Total Gains (Losses) (Realized/Unrealized)																												Net Unrealized Gains (Losses) Included in Net Income Related to Assets and Liabilities Still Held as of December 31, 2013⁽⁵⁾⁽⁶⁾
	Balance, December 31, 2012			Included in Net Income				Included in Total Other Comprehensive Income (Loss)⁽¹⁾				Purchases⁽²⁾		Sales⁽²⁾			Issues⁽³⁾			Settlements⁽³⁾			Transfers out of Level 3⁽⁴⁾			Transfers into Level 3⁽⁴⁾			Balance, December 31, 2013
	(Dollars in millions)
Trading securities:
Mortgage-related:
Fannie Mae	$	68		$	(9	)			$	—		$	—	$	—		$	—		$	(17	)	$	—		$	—		$	42			$	(9	)
Freddie Mac	2			—					—			—		—			—			—			—			—			2				—
Ginnie Mae	1			—					—			—		—			—			(1		)	(3		)	3			—				—
Alt-A private-label securities	104			256					—			—		—			—			(115		)	(435		)	808			618				223
Subprime private-label securities	1,319			328					—			—		(50		)	—			(149		)	—			—			1,448				322
Mortgage revenue bonds	675			(101		)			—			—		—			—			(9		)	—			—			565				(101		)
Other	117			(5		)			—			—		—			—			(13		)	—			—			99				(5		)
Total trading securities	$	2,286		$	469		(6)(7)		$	—		$	—	$	(50	)	$	—		$	(304	)	$	(438	)	$	811		$	2,774			$	430

Available-for-sale securities:
Mortgage-related:
Fannie Mae	$	29		$	—				$	(1	)	$	—	$	—		$	—		$	(7	)	$	(14	)	$	—		$	7			$	—
Freddie Mac	10			—					(1		)	—		—			—			(2		)	(1		)	2			8				—
Ginnie Mae	—			—					—			—		—			—			—			(1		)	1			—				—
Alt-A private-label securities	6,564			144					464			—		(2,664		)	—			(1,040		)	(3,357		)	3,680			3,791				—
Subprime private-label securities	7,447			120					1,527			359		(1,317		)	—			(1,068		)	—			—			7,068				—
Mortgage revenue bonds	7,837			25					(449		)	—		(35		)	—			(2,125		)	—			—			5,253				—
Other	3,147			13					125			—		—			—			(400		)	—			—			2,885				—
Total available-for-sale securities	$	25,034		$	302		(7)(8)		$	1,665		$	359	$	(4,016	)	$	—		$	(4,642	)	$	(3,373	)	$	3,683		$	19,012			$	—

Mortgage loans	$	2,634		$	282		(6)(7)		$	—		$	346	$	(393	)	$	—		$	(459	)	$	(352	)	$	646		$	2,704			$	50
Net derivatives	14			(165		)	(6)		—			—		—			—			97			16			(2		)	(40		)		(51		)
Long-term debt:
Of Fannie Mae:
Senior floating	$	(400	)	$	76				$	—		$	—	$	—		$	(674	)	$	43		$	—		$	—		$	(955	)		$	76
Of consolidated trusts	(1,128		)	(250		)			—			—		—			(21		)	537			434			(90		)	(518		)		(80		)
Total long-term debt	$	(1,528	)	$	(174	)	(6)		$	—		$	—	$	—		$	(695	)	$	580		$	434		$	(90	)	$	(1,473	)		$	(4	)

__________


⁽¹⁾	Gains (losses) included in other comprehensive income are included in “Changes in unrealized gains on AFS securities, net of reclassification adjustments and taxes” in the consolidated statements of operations and comprehensive income.


⁽²⁾	Purchases and sales include activity related to the consolidation and deconsolidation of assets of securitization trusts.


⁽³⁾	Issues and settlements include activity related to the consolidation and deconsolidation of liabilities of securitization trusts.

⁽⁴⁾

Transfers out of Level 3 consisted primarily of private-label mortgage-related securities backed by Alt-A loans and credit risk sharing securities issued under our CAS series. Prices for these securities were obtained from multiple third-party vendors or dealers. Transfers out of Level 3 also occurred for mortgage loans for which unobservable inputs used in valuations became less significant. Transfers into Level 3 consisted primarily of private-label mortgage-related securities backed by Alt-A loans. Prices for these securities are based on inputs from a single source or inputs that were not readily observable.


⁽⁵⁾	Amount represents temporary changes in fair value. Amortization, accretion and OTTI are not considered unrealized and are not included in this amount.


⁽⁶⁾	Gains (losses) are included in “Fair value gains (losses), net” in our consolidated statements of operations and comprehensive income.


⁽⁷⁾	Gains (losses) are included in “Net interest income” in our consolidated statements of operations and comprehensive income.


⁽⁸⁾	Gains (losses) are included in “Investment gains, net” in our consolidated statements of operations and comprehensive income.

Valuation Techniques and Significant Unobservable Inputs for Level 3 Assets and Liabilities [Table Text Block]

The following tables display valuation techniques and the range and the weighted average of significant unobservable inputs for our Level 3 assets and liabilities measured at fair value on a recurring basis.



	Fair Value Measurements as of December 31, 2015
	Fair Value		Significant Valuation Techniques	Significant Unobservable Inputs⁽¹⁾	Range⁽¹⁾			Weighted - Average⁽¹⁾
	(Dollars in millions)
Recurring fair value measurements:
Trading securities:
Mortgage-related securities:
Alt-A private-label securities⁽²⁾	$	305	Consensus	Default Rate (%)	1.3	-	4.9	3.6
				Prepayment Speed (%)	2.2	-	4.5	3.7
				Severity (%)	20.5	-	95.0	69.3
				Spreads (bps)	219.0	-	263.3	253.1
Total Alt-A private-label securities	305
Subprime private-label securities⁽²⁾	526		Consensus	Default Rate (%)	4.2	-	8.4	5.9
				Prepayment Speed (%)	0.4	-	5.3	3.3
				Severity (%)	55.9	-	95.0	73.7
				Spreads (bps)	285.0			285.0
	73		Consensus
	45		Other
Total subprime private-label securities	644
Mortgage revenue bonds	437		Discounted Cash Flow	Spreads (bps)	1.5	-	376.2	298.9
	12		Other
Total mortgage revenue bonds	449
Total trading securities	$	1,398



	Fair Value Measurements as of December 31, 2015
	Fair Value		Significant Valuation Techniques	Significant Unobservable Inputs⁽¹⁾	Range⁽¹⁾				Weighted - Average⁽¹⁾
	(Dollars in millions)
Available-for-sale securities:
Mortgage-related securities:
Agency⁽³⁾	$	4	Other
Alt-A private-label securities⁽²⁾	671		Consensus	Default Rate (%)	0.5		-	40.7	3.4
				Prepayment Speed (%)	1.7		-	72.6	13.5
				Severity (%)	1.4		-	95.0	58.5
				Spreads (bps)	225.6		-	280.4	260.0
	201		Consensus
	169		Discounted Cash Flow	Default Rate (%)	4.0		-	5.0	4.8
				Prepayment Speed (%)	4.0		-	7.5	6.4
				Severity (%)	50.0		-	64.0	59.2
				Spreads (bps)	260.0		-	369.4	296.5
Total Alt-A private-label securities	1,041
Subprime private-label securities⁽²⁾	343		Single Vendor	Default Rate (%)	2.5		-	7.5	4.8
				Prepayment Speed (%)	1.9		-	5.7	3.3
				Severity (%)	67.6		-	85.7	72.7
				Spreads (bps)	285.0		-	340.0	299.6
	1,848		Consensus	Default Rate (%)	0.5		-	11.3	5.9
				Prepayment Speed (%)	0.5		-	11.2	3.8
				Severity (%)	20.0		-	95.0	79.0
				Spreads (bps)	255.0		-	285.0	283.3
	945		Consensus
	145		Other
Total subprime private-label securities	3,281
Mortgage revenue bonds	991		Single Vendor	Spreads (bps)	(33.1	)	-	386.8	37.9
	1,462		Discounted Cash Flow	Spreads (bps)	(15.8	)	-	379.1	283.8
	248		Other
Total mortgage revenue bonds	2,701
Other	683		Consensus	Default Rate (%)	0.5		-	4.6	3.4
				Prepayment Speed (%)	2.5		-	15.5	4.7
				Severity (%)	6.6		-	95.0	65.7
				Spreads (bps)	200.0		-	454.4	315.6
	520		Discounted Cash Flow	Default Rate (%)	0.0		-	1.8	0.0
				Prepayment Speed (%)	0.0		-	0.5	0.0
				Severity (%)	95.0				95.0
				Spreads (bps)	260.0		-	350.0	323.6
	201		Other
Total other	1,404
Total available-for-sale securities	$	8,431



	Fair Value Measurements as of December 31, 2015
	Fair Value			Significant Valuation Techniques	Significant Unobservable Inputs⁽¹⁾	Range⁽¹⁾			Weighted - Average⁽¹⁾
	(Dollars in millions)
Mortgage loans:
Single-family	$	127		Build-Up	Default Rate (%)	0.0	-	99.2	34.8
					Prepayment Speed (%)	3.0	-	100.0	10.4
					Severity (%)	0.0	-	100.0	39.9
	632			Build-Up
	234			Consensus	Default Rate (%)	0.5	-	5.0	3.7
					Prepayment Speed (%)	2.5	-	26.0	6.4
					Severity (%)	20.0	-	89.1	69.0
					Spreads (bps)	255.0	-	277.6	264.6
	274			Consensus
	54			Other
Total single-family	1,321
Multifamily	156			Build-Up	Spreads (bps)	70.0	-	327.2	158.8
Total mortgage loans	$	1,477
Net derivatives	$	17		Internal Model
	136			Dealer Mark
	4			Other
Total net derivatives	$	157
Long-term debt:
Of Fannie Mae:
Senior floating	$	(369	)	Discounted Cash Flow
Of consolidated trusts⁽⁴⁾	(181		)	Consensus	Default Rate (%)	0.5	-	3.8	3.4
					Prepayment Speed (%)	2.5	-	26.0	5.6
					Severity (%)	20.0	-	80.6	67.8
					Spreads (bps)	255.0	-	270.0	265.8
	(149		)	Consensus
	(166		)	Other
Total of consolidated trusts	(496		)
Total long-term debt	$	(865	)



	Fair Value Measurements as of December 31, 2014
	Fair Value		Significant Valuation Techniques	Significant Unobservable Inputs⁽¹⁾	Range⁽¹⁾			Weighted - Average⁽¹⁾
	(Dollars in millions)
Recurring fair value measurements:
Trading securities:
Mortgage-related securities:
Agency⁽³⁾⁽⁴⁾	$	153	Single Vendor	Prepayment Speed (%)	100.0			100.0
				Spreads (bps)	256.5	-	350.8	293.4
	130		Consensus	Prepayment Speed (%)	100.0			100.0
				Spreads (bps)	184.6	-	219.5	197.5
	22		Other
Total Agency	305
Alt-A private-label securities⁽²⁾	290		Single Vendor	Default Rate (%)	8.3	-	9.1	8.5
				Prepayment Speed (%)	2.9	-	3.2	3.1
				Severity (%)	79.5	-	95.0	90.4
				Spreads (bps)	267.2	-	308.2	279.4
	66		Consensus	Default Rate (%)	5.4			5.4
				Prepayment Speed (%)	7.0			7.0
				Severity (%)	48.8			48.8
				Spreads (bps)	264.8			264.8
	151		Consensus
	90		Other
Total Alt-A private-label securities	597
Subprime private-label securities⁽²⁾	422		Consensus	Default Rate (%)	3.5	-	11.8	7.2
				Prepayment Speed (%)	1.4	-	5.2	2.8
				Severity (%)	72.1	-	95.0	85.9
				Spreads (bps)	265.0			265.0
	549		Consensus
	290		Discounted Cash Flow	Default Rate (%)	4.3	-	6.2	5.2
				Prepayment Speed (%)	2.3	-	4.2	3.3
				Severity (%)	62.2	-	95.0	73.8
				Spreads (bps)	265.0	-	382.1	283.7
	46		Other
Total subprime private-label securities	1,307
Mortgage revenue bonds	161		Dealer Mark	Spreads (bps)	288.1			288.1
	540		Discounted Cash Flow	Spreads (bps)	6.0	-	318.0	263.0
	21		Other
Total mortgage revenue bonds	722
Other	99		Dealer Mark
Total trading securities	$	3,030



	Fair Value Measurements as of December 31, 2014
	Fair Value		Significant Valuation Techniques	Significant Unobservable Inputs⁽¹⁾	Range⁽¹⁾				Weighted - Average⁽¹⁾
	(Dollars in millions)
Available-for-sale securities:
Mortgage-related securities:
Agency⁽³⁾	$	6	Other
Alt-A private-label securities⁽²⁾	322		Single Vendor	Default Rate (%)	0.2		-	13.1	4.6
				Prepayment Speed (%)	0.2		-	20.5	8.2
				Severity (%)	27.8		-	89.7	61.0
				Spreads (bps)	190.0		-	315.0	264.9
	493		Single Vendor
	1,187		Consensus	Default Rate (%)	0.4		-	31.2	5.1
				Prepayment Speed (%)	0.1		-	48.9	11.0
				Severity (%)	0.2		-	95.0	59.6
				Spreads (bps)	183.8		-	240.0	236.7
	691		Consensus
	403		Discounted Cash Flow	Default Rate (%)	5.0		-	11.5	7.0
				Prepayment Speed (%)	0.5		-	8.4	3.4
				Severity (%)	35.1		-	92.4	54.2
				Spreads (bps)	188.0		-	340.0	243.4
	44		Other
Total Alt-A private-label securities	3,140
Subprime private-label securities⁽²⁾	383		Single Vendor	Default Rate (%)	2.1		-	8.3	5.5
				Prepayment Speed (%)	1.5		-	3.3	2.1
				Severity (%)	65.4		-	95.0	78.5
				Spreads (bps)	215.0		-	262.0	230.0
	2,722		Consensus	Default Rate (%)	1.5		-	37.4	6.3
				Prepayment Speed (%)	0.1		-	17.7	2.6
				Severity (%)	1.5		-	95.0	84.4
				Spreads (bps)	155.0		-	265.0	220.0
	1,755		Consensus
	317		Discounted Cash Flow	Default Rate (%)	3.0		-	12.3	7.0
				Prepayment Speed (%)	1.1		-	9.0	4.1
				Severity (%)	28.9		-	91.8	81.2
				Spreads (bps)	155.0		-	895.0	250.5
	63		Other
Total subprime private-label securities	5,240
Mortgage revenue bonds	1,504		Single Vendor	Spreads (bps)	(11.5	)	-	361.5	52.7
	418		Single Vendor
	510		Dealer Mark	Spreads (bps)	222.8		-	322.1	265.9
	1,581		Discounted Cash Flow	Spreads (bps)	(11.5	)	-	620.2	251.4
	10		Other
Total mortgage revenue bonds	4,023
Other	337		Single Vendor	Default Rate (%)	1.7		-	5.0	4.4
				Prepayment Speed (%)	3.0		-	9.3	3.8
				Severity (%)	4.0		-	94.6	69.6
				Spreads (bps)	263.1		-	427.2	291.5
	720		Consensus	Default Rate (%)	0.1		-	6.6	3.9
				Prepayment Speed (%)	3.0		-	30.4	4.8
				Severity (%)	0.4		-	95.0	62.4
				Spreads (bps)	215.0		-	481.4	320.6
	1,215		Dealer Mark
	399		Other
Total other	2,671
Total available-for-sale securities	$	15,080



	Fair Value Measurements as of December 31, 2014
	Fair Value			Significant Valuation Techniques	Significant Unobservable Inputs⁽¹⁾	Range⁽¹⁾			Weighted - Average⁽¹⁾
	(Dollars in millions)
Mortgage loans:
Single-family	$	934		Build-Up	Default Rate (%)	0.0	-	99.0	14.9
					Prepayment Speed (%)	3.6	-	99.8	16.3
					Severity (%)	3.4	-	100.0	23.7
	279			Consensus
	402			Discounted Cash Flow	Default Rate (%)	2.7	-	13.1	5.5
					Prepayment Speed (%)	0.1	-	13.5	7.5
					Severity (%)	35.5	-	95.0	61.3
					Spreads (bps)	155.0	-	665.0	227.4
	39			Other
Total single-family	1,654
Multifamily	179			Build-Up	Spreads (bps)	59.0	-	323.4	137.3
Total mortgage loans	$	1,833
Net derivatives	$	(107	)	Internal Model
	150			Dealer Mark
	2			Other
Total net derivatives	$	45
Long-term debt:
Of Fannie Mae:
Senior floating	$	(363	)	Discounted Cash Flow
Of consolidated trusts⁽⁴⁾	(219		)	Consensus
	(205		)	Discounted Cash Flow	Default Rate (%)	2.7	-	11.9	4.0
					Prepayment Speed (%)	0.1	-	100.0	33.4
					Severity (%)	35.5	-	95.0	54.6
					Spreads (bps)	88.0	-	665.0	249.4
	(103		)	Other
Total of consolidated trusts	(527		)
Total long-term debt	$	(890	)

_________

⁽¹⁾

Valuation techniques for which no unobservable inputs are disclosed generally reflect the use of third-party pricing services or dealers, and the range of unobservable inputs applied by these sources is not readily available or cannot be reasonably estimated. Where we have disclosed unobservable inputs for consensus and single vendor techniques, those inputs are based on our validations performed at the security level using discounted cash flows.


⁽²⁾	Default Rate as disclosed represents the estimated beginning annualized rate of default and is used as a basis to forecast the future default rates that serve as an input for valuation.


⁽³⁾	Includes Fannie Mae, Freddie Mac and Ginnie Mae securities.


⁽⁴⁾	Includes instruments for which the prepayment speed as disclosed represents the estimated annualized rate of prepayment after all prepayment penalty provisions have expired and also instruments for which prepayment speed as disclosed represents the estimated rate of prepayment over the remaining life of the instrument.

Level 3 Assets Measured on Nonrecurring Basis [Table Text Block]

The following table displays valuation techniques for our Level 3 assets measured at fair value on a nonrecurring basis. The significant unobservable inputs related to these techniques primarily relate to collateral dependent valuations. The related ranges and weighted averages are not meaningful when aggregated as they vary significantly from property to property.



		Fair Value Measurements as of December 31,
	Valuation Techniques	2015		2014
		(Dollars in millions)
Nonrecurring fair value measurements:
Mortgage loans held for sale, at lower of cost or fair value	Consensus	$	3,651	$	110
	Single Vendor	336		—
	Other	4		—
Total mortgage loans held for sale, at lower of cost or fair value		3,991		110
Single-family mortgage loans held for investment, at amortized cost	Internal Model	6,379		16,654
	Other	—		60
Total single-family mortgage loans held for investment, at amortized cost		6,379		16,714
Multifamily mortgage loans held for investment, at amortized cost	Broker Price Opinions	82		45
	Asset Manager Estimate	236		580
	Other	5		—
Total multifamily mortgage loans held for investment, at amortized cost		323		625
Acquired property, net:
Single-family	Accepted Offers	541		864
	Appraisals	1,117		1,509
	Walk Forwards	433		1,173
	Internal Model	986		1,045
	Other	134		191
Total single-family		3,211		4,782
Multifamily	Broker Price Opinions	—		127
	Other	—		13
Total multifamily		—		140
Other assets	Other	30		45
Total nonrecurring assets at fair value		$	13,934	$	22,416

Fair Value of Financial Instruments [Table Text Block]

The following table displays the carrying value and estimated fair value of our financial instruments. The fair value of financial instruments we disclose includes commitments to purchase multifamily and single-family mortgage loans that we do not record in our consolidated balance sheets. The fair values of these commitments are included as “Mortgage loans held for investment, net of allowance for loan losses.” The disclosure excludes all non-financial instruments; therefore, the fair value of our financial assets and liabilities does not represent the underlying fair value of our total consolidated assets and liabilities.



	As of December 31, 2015
	Carrying Value		Quoted Price in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Netting Adjustment			Estimated Fair Value
	(Dollars in millions)
Financial assets:
Cash and cash equivalents and restricted cash	$	45,553	$	34,953	$	10,600	$	—	$	—		$	45,553
Federal funds sold and securities purchased under agreements to resell or similar arrangements	27,350		—		27,350		—		—			27,350
Trading securities	39,908		29,485		9,025		1,398		—			39,908
Available-for-sale securities	20,230		—		11,799		8,431		—			20,230
Mortgage loans held for sale	5,361		—		157		5,541		—			5,698
Mortgage loans held for investment, net of allowance for loan losses:
Of Fannie Mae	206,544		—		26,544		193,670		—			220,214
Of consolidated trusts	2,807,739		—		2,675,982		157,685		—			2,833,667
Mortgage loans held for investment	3,014,283		—		2,702,526		351,355		—			3,053,881
Advances to lenders	4,308		—		3,902		394		—			4,296
Derivative assets at fair value	894		—		4,729		189		(4,024		)	894
Guaranty assets and buy-ups	184		—		—		544		—			544
Total financial assets	$	3,158,071	$	64,438	$	2,770,088	$	367,852	$	(4,024	)	$	3,198,354

Financial liabilities:
Federal funds purchased and securities sold under agreements to repurchase	$	62	$	—	$	62	$	—	$	—		$	62
Short-term debt:
Of Fannie Mae	71,007		—		71,006		—		—			71,006
Of consolidated trusts	943		—		—		944		—			944
Long-term debt:
Of Fannie Mae	315,128		—		324,248		898		—			325,146
Of consolidated trusts	2,810,593		—		2,819,733		27,175		—			2,846,908
Derivative liabilities at fair value	424		—		9,042		32		(8,650		)	424
Guaranty obligations	329		—		—		1,012		—			1,012
Total financial liabilities	$	3,198,486	$	—	$	3,224,091	$	30,061	$	(8,650	)	$	3,245,502



	December 31, 2014
	Carrying Value		Quoted Price in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Netting Adjustment			Estimated Fair Value
	(Dollars in millions)
Financial assets:
Cash and cash equivalents and restricted cash	$	54,565	$	37,965	$	16,600	$	—	$	—		$	54,565
Federal funds sold and securities purchased under agreements to resell or similar arrangements	30,950		—		30,950		—		—			30,950
Trading securities	31,504		19,466		9,008		3,030		—			31,504
Available-for-sale securities	30,654		—		15,574		15,080		—			30,654
Mortgage loans held for sale	331		—		169		169		—			338
Mortgage loans held for investment, net of allowance for loan losses:
Of Fannie Mae	239,243		—		29,896		217,064		—			246,960
Of consolidated trusts	2,779,920		—		2,657,863		183,263		—			2,841,126
Mortgage loans held for investment	3,019,163		—		2,687,759		400,327		—			3,088,086
Advances to lenders	5,559		—		5,079		470		—			5,549
Derivative assets at fair value	1,485		—		6,489		182		(5,186		)	1,485
Guaranty assets and buy-ups	210		—		—		616		—			616
Total financial assets	$	3,174,421	$	57,431	$	2,771,628	$	419,874	$	(5,186	)	$	3,243,747

Financial liabilities:
Federal funds purchased and securities sold under agreements to repurchase	$	50	$	—	$	50	$	—	$	—		$	50
Short-term debt:
Of Fannie Mae	105,012		—		105,022		—		—			105,022
Of consolidated trusts	1,560		—		—		1,560		—			1,560
Long-term debt:
Of Fannie Mae	355,431		—		367,703		982		—			368,685
Of consolidated trusts	2,760,152		—		2,815,843		19,334		—			2,835,177
Derivative liabilities at fair value	614		—		10,671		137		(10,194		)	614
Guaranty obligations	382		—		—		1,579		—			1,579
Total financial liabilities	$	3,223,201	$	—	$	3,299,289	$	23,592	$	(10,194	)	$	3,312,687

Fair Value Option [Table Text Block]

The following table displays the fair value and unpaid principal balance of the financial instruments for which we have made fair value elections.



		As of December 31,
		2015									2014
	Loans⁽¹⁾			Long-Term Debt of Fannie Mae			Long-Term Debt of Consolidated Trusts			Loans⁽¹⁾			Long-Term Debt of Fannie Mae			Long-Term Debt of Consolidated Trusts
		(Dollars in millions)
Fair value		$	14,075		$	11,133		$	23,609		$	15,629		$	6,403		$	19,483
Unpaid principal balance		13,661			11,263			21,604			15,001			6,512			17,810

__________

⁽¹⁾

Includes nonaccrual loans with a fair value of $238 million and $240 million as of December 31, 2015 and 2014, respectively. The difference between unpaid principal balance and the fair value of these nonaccrual loans as of December 31, 2015 and 2014 is $59 million and $75 million, respectively. Includes loans that are 90 days or more past due with a fair value of $256 million and $271 million as of December 31, 2015 and 2014, respectively. The difference between unpaid principal balance and the fair value of these 90 or more days past due loans as of December 31, 2015 and 2014 is $52 million and $78 million, respectively.

The following table displays fair value gains and losses, net, including changes attributable to instrument-specific credit risk, for loans and debt for which the fair value election was made. Amounts are recorded as a component of “Fair value gains (losses), net” in our consolidated statements of operations and comprehensive income.



	For the Year Ended December 31,
	2015										2014								2013
	Loans			Long-Term Debt			Total Gains (Losses)				Loans		Long-Term Debt				Total Gains (Losses)		Loans			Long-Term Debt				Total Gains (Losses)
	(Dollars in millions)
Changes in instrument-specific credit risk	$	86			$	39		$	125		$	60		$	216		$	276	$	(142	)		$	(31	)	$	(173	)
Other changes in fair value	(191		)		146			(45		)	670			(505		)	165		(730		)		346			(384		)
Fair value gains (losses), net	$	(105	)		$	185		$	80		$	730		$	(289	)	$	441	$	(872	)		$	315		$	(557	)

- Definition

Tabular disclosure of the application of the fair value option for measurement and reporting of eligible financial assets and liabilities (as defined), as well as certain other eligible items (as defined) included in the statement of financial position, whether such option is elected for a single eligible item or a group of similar eligible items and is in addition to other disclosures concerning fair value which the company may be required to provide. Such disclosure might be expected to include: (1) for items included in the statement of financial position: (a) for each line item in the statement of financial position that includes an item or items for which the fair value option has been elected, provide the aggregate carrying amount of ineligible items included in each line item in the balance sheet, if any; (b) the difference between the aggregate fair value and the aggregate unpaid principal balance (assuming contractual principal amounts and fair value option elected) of: (i) loans and long-term receivables (other than securities otherwise reported at fair value) and (ii) long-term debt instruments; (c) for loans held as assets for which the fair value option has been elected: (i) the aggregate fair value of loans that are 90 days or more past due, (ii) if the policy is to recognize interest income separately from other changes in fair value, the aggregate fair value of loans in nonaccrual status, and (iii) the difference between the aggregate fair value and the aggregate unpaid principal balance for loans that are 90 days or more past due, in nonaccrual status, or both; (2) for items included in the income statement: (a) the amounts of gains and losses from fair value changes included in earnings and in which line in the income statement those gains and losses are reported whether or not combined with gains and losses from items required to be accounted for at fair value; (b) for loans and other receivables held as assets, the estimated amount of gains or losses included in earnings attributable to changes in instrument-specific credit risk; (c) for liabilities with fair values that have been significantly affected during the reporting period by changes in the instrument-specific credit risk, the estimated amount of gains and losses from fair value changes included in earnings that are attributable to changes in the instrument-specific credit risk; and (3) certain other disclosures as required or determined to be provided.

+ References + Details