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Mortgage Loans (Tables)

9 Months Ended

Sep. 30, 2019

SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]

Loans in Mortgage Portfolio [Table Text Block]

The following table displays the carrying value of our mortgage loans.



	As of
	September 30, 2019			December 31, 2018
	(Dollars in millions)
Single-family	$	2,962,083		$	2,929,925
Multifamily	318,106			293,858
Total unpaid principal balance of mortgage loans	3,280,189			3,223,783
Cost basis and fair value adjustments, net	43,323			39,815
Allowance for loan losses for loans held for investment	(9,376		)	(14,203		)
Total mortgage loans	$	3,314,136		$	3,249,395

The following table displays information about our redesignated mortgage loans.



	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2019		2018		2019		2018
	(Dollars in millions)
Carrying value of loans redesignated from HFI to HFS⁽¹⁾	$	4,882	$	4,249	$	14,252	$	17,851
Carrying value of loans redesignated from HFS to HFI⁽¹⁾	10		6		22		36
Loans sold - unpaid principal balance	3,941		9,373		10,497		13,831
Realized gains on sale of mortgage loans	184		93		504		301

⁽¹⁾

Represents the carrying value of the loans after redesignation, excluding allowance.

The following table displays the allowance for loan losses and recorded investment in our HFI loans by impairment or allowance methodology and portfolio segment, excluding loans for which we have elected the fair value option.



	As of
	September 30, 2019									December 31, 2018
	Single-Family			Multifamily			Total			Single-Family			Multifamily			Total
	(Dollars in millions)
Allowance for loan losses by segment:
Individually impaired loans⁽¹⁾	$	(8,507	)	$	(45	)	$	(8,552	)	$	(13,255	)	$	(40	)	$	(13,295	)
Collectively reserved loans	(615		)	(209		)	(824		)	(714		)	(194		)	(908		)
Total allowance for loan losses	$	(9,122	)	$	(254	)	$	(9,376	)	$	(13,969	)	$	(234	)	$	(14,203	)

Recorded investment in loans by segment:
Individually impaired loans⁽¹⁾	$	100,991		$	652		$	101,643		$	117,561		$	542		$	118,103
Collectively reserved loans	2,889,510			320,545			3,210,055			2,841,943			295,122			3,137,065
Total recorded investment in loans	$	2,990,501		$	321,197		$	3,311,698		$	2,959,504		$	295,664		$	3,255,168

⁽¹⁾

Includes acquired credit-impaired loans.

Aging Analysis [Table Text Block]

The following tables display an aging analysis of the total recorded investment in our HFI mortgage loans by portfolio segment and class, excluding loans for which we have elected the fair value option.



	As of September 30, 2019
	30 - 59 Days Delinquent		60 - 89 Days Delinquent		Seriously Delinquent⁽¹⁾		Total Delinquent		Current		Total		Recorded Investment in Loans 90 Days or More Delinquent and Accruing Interest		Recorded Investment in Nonaccrual Loans
	(Dollars in millions)
Single-family:
Primary	$	29,211	$	7,188	$	13,291	$	49,690	$	2,867,330	$	2,917,020	$	26	$	23,840
Government⁽²⁾	44		20		144		208		17,881		18,089		144		—
Alt-A	1,717		591		1,316		3,624		40,663		44,287		1		2,228
Other	572		212		485		1,269		9,836		11,105		2		800
Total single-family	31,544		8,011		15,236		54,791		2,935,710		2,990,501		173		26,868
Multifamily⁽³⁾	32		N/A		181		213		320,984		321,197		—		604
Total	$	31,576	$	8,011	$	15,417	$	55,004	$	3,256,694	$	3,311,698	$	173	$	27,472



	As of December 31, 2018
	30 - 59 Days Delinquent		60 - 89 Days Delinquent		Seriously Delinquent⁽¹⁾		Total Delinquent		Current		Total		Recorded Investment in Loans 90 Days or More Delinquent and Accruing Interest		Recorded Investment in Nonaccrual Loans
	(Dollars in millions)
Single-family:
Primary	$	30,471	$	7,881	$	14,866	$	53,218	$	2,816,047	$	2,869,265	$	22	$	26,170
Government⁽²⁾	57		17		169		243		21,887		22,130		169		—
Alt-A	2,332		821		1,844		4,997		48,274		53,271		2		3,082
Other	804		283		713		1,800		13,038		14,838		2		1,128
Total single-family	33,664		9,002		17,592		60,258		2,899,246		2,959,504		195		30,380
Multifamily⁽³⁾	56		N/A		171		227		295,437		295,664		—		492
Total	$	33,720	$	9,002	$	17,763	$	60,485	$	3,194,683	$	3,255,168	$	195	$	30,872


⁽¹⁾	Single-family seriously delinquent loans are loans that are 90 days or more past due or in the foreclosure process. Multifamily seriously delinquent loans are loans that are 60 days or more past due.


⁽²⁾	Primarily consists of reverse mortgages, which due to their nature, are not aged and are included in the current column.

⁽³⁾

Multifamily loans 60-89 days delinquent are included in the seriously delinquent column.

Individually Impaired Loans [Table Text Block]

The following tables display the total unpaid principal balance, recorded investment, related allowance, average recorded investment and interest income recognized for individually impaired loans.



	As of
	September 30, 2019										December 31, 2018
	Unpaid Principal Balance			Total Recorded Investment			Related Allowance for Loan Losses				Unpaid Principal Balance			Total Recorded Investment			Related Allowance for Loan Losses
	(Dollars in millions)
Individually impaired loans:
With related allowance recorded:
Single-family:
Primary		$	67,175		$	64,987		$	(6,141	)		$	81,791		$	78,688		$	(9,406	)
Government		250			255			(50		)		264			270			(55		)
Alt-A		11,956			11,008			(1,726		)		16,576			15,158			(2,793		)
Other		3,703			3,505			(590		)		5,482			5,169			(1,001		)
Total single-family		83,084			79,755			(8,507		)		104,113			99,285			(13,255		)
Multifamily		281			283			(45		)		197			196			(40		)
Total individually impaired loans with related allowance recorded		83,365			80,038			(8,552		)		104,310			99,481			(13,295		)
With no related allowance recorded:⁽¹⁾
Single-family:
Primary		19,326			18,463			—				15,939			15,191			—
Government		65			61			—				61			56			—
Alt-A		2,391			2,141			—				2,628			2,363			—
Other		624			571			—				718			666			—
Total single-family		22,406			21,236			—				19,346			18,276			—
Multifamily		368			369			—				343			346			—
Total individually impaired loans with no related allowance recorded		22,774			21,605			—				19,689			18,622			—
Total individually impaired loans⁽²⁾		$	106,139		$	101,643		$	(8,552	)		$	123,999		$	118,103		$	(13,295	)


⁽¹⁾	The discounted cash flows or collateral value equals or exceeds the carrying value of the loan and, as such, no valuation allowance is required.


⁽²⁾	Includes single-family loans restructured in a TDR with a recorded investment of $100.7 billion and $117.2 billion as of September 30, 2019 and December 31, 2018, respectively. Includes multifamily loans restructured in a TDR with a recorded investment of $126 million and $187 million as of September 30, 2019 and December 31, 2018, respectively.



	For the Three Months Ended September 30,
	2019									2018
	Average Recorded Investment			Total Interest Income Recognized			Interest Income Recognized on a Cash Basis			Average Recorded Investment			Total Interest Income Recognized			Interest Income Recognized on a Cash Basis
	(Dollars in millions)
Individually impaired loans:
With related allowance recorded:
Single-family:
Primary		$	69,084		$	713		$	62		$	84,043		$	871		$	86
Government		262			2			—			276			3			—
Alt-A		11,845			125			8			17,034			179			13
Other		3,904			37			4			6,254			57			4
Total single-family		85,095			877			74			107,607			1,110			103
Multifamily		313			2			—			231			1			—
Total individually impaired loans with related allowance recorded		85,408			879			74			107,838			1,111			103
With no related allowance recorded:⁽¹⁾
Single-family:
Primary		16,422			262			39			15,140			254			30
Government		56			1			—			57			1			—
Alt-A		2,130			44			4			2,562			54			4
Other		575			10			1			784			13			2
Total single-family		19,183			317			44			18,543			322			36
Multifamily		401			8			—			335			8			—
Total individually impaired loans with no related allowance recorded		19,584			325			44			18,878			330			36
Total individually impaired loans		$	104,992		$	1,204		$	118		$	126,716		$	1,441		$	139



	For the Nine Months Ended September 30,
	2019									2018
	Average Recorded Investment			Total Interest Income Recognized			Interest Income Recognized on a Cash Basis			Average Recorded Investment			Total Interest Income Recognized			Interest Income Recognized on a Cash Basis
	(Dollars in millions)
Individually impaired loans:
With related allowance recorded:
Single-family:
Primary		$	73,601		$	2,304		$	214		$	86,842		$	2,697		$	302
Government		267			8			—			277			15			—
Alt-A		13,299			426			30			19,081			610			45
Other		4,429			123			11			7,140			201			15
Total single-family		91,596			2,861			255			113,340			3,523			362
Multifamily		280			7			—			244			2			—
Total individually impaired loans with related allowance recorded		91,876			2,868			255			113,584			3,525			362
With no related allowance recorded:⁽¹⁾
Single-family:
Primary		15,718			731			103			15,039			740			88
Government		56			3			—			58			3			—
Alt-A		2,203			127			11			2,710			173			13
Other		611			28			3			848			44			4
Total single-family		18,588			889			117			18,655			960			105
Multifamily		377			16			—			333			11			—
Total individually impaired loans with no related allowance recorded		18,965			905			117			18,988			971			105
Total individually impaired loans		$	110,841		$	3,773		$	372		$	132,572		$	4,496		$	467

⁽¹⁾

The discounted cash flows or collateral value equals or exceeds the carrying value of the loan and, as such, no valuation allowance is required.

Troubled Debt Restructurings Activity [Table Text Block]

The following tables display the number of loans and recorded investment in loans classified as a TDR.



	For the Three Months Ended September 30,
	2019					2018
	Number of Loans		RecordedInvestment⁽¹⁾			Number of Loans		Recorded Investment⁽¹⁾
	(Dollars in millions)
Single-family:
Primary		11,373		$	1,819		12,291		$	1,797
Government		16		1			21		3
Alt-A		543		70			779		100
Other		89		16			207		37
Total single-family		12,021		1,906			13,298		1,937
Multifamily		3		4			2		7
Total TDRs		12,024		$	1,910		13,300		$	1,944



	For the Nine Months Ended September 30,
	2019					2018
	Number of Loans		RecordedInvestment⁽¹⁾			Number of Loans		Recorded Investment⁽¹⁾
	(Dollars in millions)
Single-family:
Primary		36,126		$	5,634		75,790		$	11,469
Government		61		7			95		9
Alt-A		1,948		248			4,499		583
Other		374		68			937		173
Total single-family		38,509		5,957			81,321		12,234
Multifamily		9		37			12		68
Total TDRs		38,518		$	5,994		81,333		$	12,302

⁽¹⁾

Based on the nature of our modification programs, which do not include principal or past-due interest forgiveness, there is not a material difference between the recorded investment in our loans pre- and post- modification. Therefore, these amounts represent recorded investment post-modification.

the following tables display the number of loans and our recorded investment in these loans at the time of payment default. For the purposes of this disclosure, we define loans that had a payment default as: single-family and multifamily loans with completed TDRs that liquidated during the period, either through foreclosure, deed-in-lieu of foreclosure, or a short sale; single-family loans with completed modifications that are two or more months delinquent during the period; or multifamily loans with completed modifications that are one or more months delinquent during the period.



	For the Three Months Ended September 30,
	2019					2018
	Number of Loans		RecordedInvestment			Number of Loans		RecordedInvestment
	(Dollars in millions)
Single-family:
Primary		3,780		$	585		3,720		$	519
Government		28		2			8		—
Alt-A		307		43			438		74
Other		87		16			143		29
Total single-family		4,202		646			4,309		622
Multifamily		1		13			1		2
Total TDRs that subsequently defaulted		4,203		$	659		4,310		$	624



	For the Nine Months Ended September 30,
	2019					2018
	Number of Loans		RecordedInvestment			Number of Loans		RecordedInvestment
	(Dollars in millions)
Single-family:
Primary		12,343		$	1,864		12,372		$	1,774
Government		56		7			37		4
Alt-A		1,157		174			1,703		275
Other		351		65			469		93
Total single-family		13,907		2,110			14,581		2,146
Multifamily		2		19			2		4
Total TDRs that subsequently defaulted		13,909		$	2,129		14,583		$	2,150

Single-family [Member]

SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]

Credit Quality Indicators [Table Text Block]

The following table displays the total recorded investment in our single-family HFI loans by class and credit quality indicator, excluding loans for which we have elected the fair value option.



	As of
	September 30, 2019⁽¹⁾						December 31, 2018⁽¹⁾
	Primary		Alt-A		Other		Primary		Alt-A		Other
	(Dollars in millions)
Estimated mark-to-market loan-to-value (“LTV”) ratio:⁽²⁾
Less than or equal to 80%	$	2,569,771	$	39,710	$	9,694	$	2,521,766	$	45,476	$	12,291
Greater than 80%and less than or equal to 90%	228,868		2,365		709		228,614		3,804		1,195
Greater than 90%and less than or equal to 100%	113,424		1,131		337		109,548		1,997		645
Greater than 100%	4,957		1,081		365		9,337		1,994		707
Total	$	2,917,020	$	44,287	$	11,105	$	2,869,265	$	53,271	$	14,838


⁽¹⁾	Excludes $18.1 billion and $22.1 billion as of September 30, 2019 and December 31, 2018, respectively, of mortgage loans guaranteed or insured, in whole or in part, by the U.S. government or one of its agencies, that are not Alt-A loans. The class is primarily reverse mortgages for which we do not calculate an estimated mark-to-market LTV ratio.

⁽²⁾

The aggregate estimated mark-to-market LTV ratio is based on the unpaid principal balance of the loan divided by the estimated current value of the property as of the end of each reported period, which we calculate using an internal valuation model that estimates periodic changes in home value.

Multifamily [Member]

SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]

Credit Quality Indicators [Table Text Block]

The following table displays the total recorded investment in our multifamily HFI loans by credit quality indicator, excluding loans for which we have elected the fair value option.



	As of
	September 30,			December 31,
	2019			2018
	(Dollars in millions)
Credit risk profile by internally assigned grade:
Non-classified		$	314,458		$	289,231
Classified⁽¹⁾		6,739			6,433
Total		$	321,197		$	295,664

⁽¹⁾

Includes loans classified as “Substandard” or “Doubtful.” Loans classified as “Substandard” have a well-defined weakness that jeopardizes the timely full repayment. Loans classified as “Doubtful” have weakness that makes collection or liquidation in full highly questionable and improbable based on existing conditions and values. As of September 30, 2019, we had loans with recorded investment of less than $0.1 million classified as doubtful, compared with $1 million as of December 31, 2018.