Mortgage Loans

6 Months Ended

Jun. 30, 2024

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

Mortgage Loans

Mortgage Loans

We own single-family mortgage loans, which are secured by four or fewer residential dwelling units, and multifamily mortgage loans, which are secured by five or more residential dwelling units. We classify these loans as either held for investment (“HFI”) or held for sale (“HFS”). Unless otherwise noted, within “Note 4, Mortgage Loans,” we report the amortized cost of HFI loans for which we have not elected the fair value option at the unpaid principal balance, net of unamortized premiums and discounts, hedge-related basis adjustments, other cost basis adjustments, and accrued interest receivable. Within our condensed consolidated balance sheets, we present accrued interest receivable, net separately from the amortized cost of our loans held for investment. We report the carrying value of HFS loans at the lower of cost or fair value and record valuation changes in “Investment gains (losses), net” in our condensed consolidated statements of operations and comprehensive income.

Within our single-family mortgage loan disclosures below, we display loans by class of financing receivable type. Financing receivable classes used for disclosure consist of: “20- and 30-year or more, amortizing fixed-rate,” “15-year or less, amortizing fixed-rate,” “Adjustable-rate,” and “Other.” The “Other” class primarily consists of reverse mortgage loans, interest-only loans, negative-amortizing loans and second liens.

The following table displays the carrying value of our mortgage loans and allowance for loan losses.

	As of
	June 30, 2024		December 31, 2023
	(Dollars in millions)
Single-family	$	3,627,376	$	3,641,385
Multifamily	470,928		461,247
Total unpaid principal balance of mortgage loans	4,098,304		4,102,632
Cost basis and fair value adjustments, net	38,936		41,729
Allowance for loan losses for HFI loans	(8,026)		(8,730)
Total mortgage loans(1)	$	4,129,214	$	4,135,631

(1)Excludes $10.8 billion and $10.4 billion of accrued interest receivable as of June 30, 2024 and December 31, 2023, respectively.

The following table displays information about our purchase of HFI loans, redesignation of loans and the sales of mortgage loans during the period.

		For the Three Months Ended June 30,				For the Six Months Ended June 30,
		2024		2023		2024		2023
	(Dollars in millions)
Purchase of HFI loans:
Single-family unpaid principal balance		$	85,776	$	89,175	$	148,066	$	156,642
Multifamily unpaid principal balance		9,271		15,111		19,339		25,346
Single-family loans redesignated from HFI to HFS:
Amortized cost		$	216	$	—	$	452	$	—
Lower of cost or fair value adjustment at time of redesignation(1)		(18)		—		(38)		—
Allowance reversed at time of redesignation		4		—		3		—
Single-family loans sold:
Unpaid principal balance		$	1,832	$	—	$	2,331	$	1,842
Realized gains (losses), net		8		—		13		17

(1)Consists of the write-off against the allowance at the time of redesignation.

The amortized cost of single-family mortgage loans for which formal foreclosure proceedings were in process was $4.4 billion as of June 30, 2024 and $4.6 billion as of December 31, 2023. As a result of our various loss mitigation and foreclosure prevention efforts, we expect that a portion of the loans in the process of formal foreclosure proceedings will not ultimately foreclose.

Aging Analysis

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

	As of June 30, 2024
	30 - 59 Days Delinquent		60 - 89 Days Delinquent		Seriously Delinquent(1)		Total Delinquent		Current		Total		Loans 90 Days or More Delinquent and Accruing Interest		Nonaccrual Loans with No Allowance
	(Dollars in millions)
Single-family:
20- and 30-year or more, amortizing fixed-rate	$	33,669	$	7,696	$	16,600	$	57,965	$	3,168,651	$	3,226,616	$	568	$	3,128
15-year or less, amortizing fixed-rate	1,775		288		546		2,609		395,554		398,163		34		188
Adjustable-rate	176		38		90		304		25,619		25,923		3		15
Other(2)	583		161		431		1,175		21,484		22,659		37		179
Total single-family	36,203		8,183		17,667		62,053		3,611,308		3,673,361		642		3,510
Multifamily(3)	935		N/A		1,564		2,499		468,367		470,866		106		551
Total	$	37,138	$	8,183	$	19,231	$	64,552	$	4,079,675	$	4,144,227	$	748	$	4,061

	As of December 31, 2023
	30 - 59 Days Delinquent		60 - 89 Days Delinquent		Seriously Delinquent(1)		Total Delinquent		Current		Total		Loans 90 Days or More Delinquent and Accruing Interest		Nonaccrual Loans with No Allowance
	(Dollars in millions)
Single-family:
20- and 30-year or more, amortizing fixed-rate	$	33,119	$	8,093	$	18,659	$	59,871	$	3,148,171	$	3,208,042	$	1,371	$	3,457
15-year or less, amortizing fixed-rate	1,846		319		650		2,815		425,598		428,413		74		176
Adjustable-rate	184		42		100		326		26,032		26,358		11		21
Other(2)	586		171		562		1,319		23,772		25,091		148		228
Total single-family	35,735		8,625		19,971		64,331		3,623,573		3,687,904		1,604		3,882
Multifamily(3)	449		N/A		1,699		2,148		459,206		461,354		171		594
Total	$	36,184	$	8,625	$	21,670	$	66,479	$	4,082,779	$	4,149,258	$	1,775	$	4,476

(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)Reverse mortgage loans included in “Other” are not aged due to their nature and are included in the current column.

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

Credit Quality Indicators and Write-offs by Year of Origination

The estimated mark-to-market loan-to-value (“LTV”) ratio is a primary factor we consider when estimating our allowance for loan losses for single-family loans. As LTV ratios increase, the borrower’s equity in the home decreases, which may

negatively affect the borrower’s ability to refinance or to sell the property for an amount at or above the outstanding balance of the loan.

The following tables display information about the credit quality of our single-family HFI loans, based on total amortized cost. The tables below also include current year write-offs of our single-family HFI mortgage loans by class of financing receivable and year of origination, excluding loans for which we have elected the fair value option.

	Credit Quality Indicators as of June 30, 2024 and Write-offs for the Six Months Ended June 30, 2024, by Year of Origination(1)
	2024		2023		2022		2021		2020		Prior		Total
	(Dollars in millions)
Estimated mark-to-market LTV ratio:(2)
20- and 30-year or more, amortizing fixed-rate:
Less than or equal to 80%	$	70,150	$	173,891	$	334,255	$	881,378	$	742,596	$	748,745	$	2,951,015
Greater than 80% and less than or equal to 90%	19,486		71,484		80,974		18,851		2,194		1,498		194,487
Greater than 90% and less than or equal to 100%	29,344		32,819		15,542		1,653		193		206		79,757
Greater than 100%	—		145		908		112		38		154		1,357
Total 20- and 30-year or more, amortizing fixed-rate	118,980		278,339		431,679		901,994		745,021		750,603		3,226,616
Current-year 20- and 30-year or more,      amortizing fixed-rate write-offs	$	—	$	15	$	54	$	45	$	16	$	72	$	202
15-year or less, amortizing fixed-rate:
Less than or equal to 80%	2,960		7,189		33,391		155,353		109,935		88,223		397,051
Greater than 80% and less than or equal to 90%	187		430		255		18		1		1		892
Greater than 90% and less than or equal to 100%	135		65		18		1		—		—		219
Greater than 100%	—		—		—		—		—		1		1
Total 15-year or less, amortizing fixed-rate	3,282		7,684		33,664		155,372		109,936		88,225		398,163
Current-year 15-year or less, amortizing      fixed-rate write-offs	—		—		1		1		—		2		4
Adjustable-rate:
Less than or equal to 80%	821		1,924		4,610		5,709		1,566		9,274		23,904
Greater than 80% and less than or equal to 90%	185		533		806		37		5		2		1,568
Greater than 90% and less than or equal to 100%	109		162		155		5		1		1		433
Greater than 100%	—		1		17		—		—		—		18
Total adjustable-rate	1,115		2,620		5,588		5,751		1,572		9,277		25,923
Current-year adjustable-rate write-offs	—		—		—		—		—		1		1
Other:
Less than or equal to 80%	—		—		—		—		—		18,270		18,270
Greater than 80% and less than or equal to 90%	—		—		—		—		—		64		64
Greater than 90% and less than or equal to 100%	—		—		—		—		—		32		32
Greater than 100%	—		—		—		—		—		29		29
Total other	—		—		—		—		—		18,395		18,395
Current-year other write-offs	—		—		—		—		—		10		10
Total for all classes by LTV ratio:(2)
Less than or equal to 80%	$	73,931	$	183,004	$	372,256	$	1,042,440	$	854,097	$	864,512	$	3,390,240
Greater than 80% and less than or equal to 90%	19,858		72,447		82,035		18,906		2,200		1,565		197,011
Greater than 90% and less than or equal to 100%	29,588		33,046		15,715		1,659		194		239		80,441
Greater than 100%	—		146		925		112		38		184		1,405
Total	$	123,377	$	288,643	$	470,931	$	1,063,117	$	856,529	$	866,500	$	3,669,097
Total current-year write-offs	$	—	$	15	$	55	$	46	$	16	$	85	$	217

	Credit Quality Indicators as of December 31, 2023 and Write-offs for the Year Ended December 31, 2023, by Year of Origination(1)
	2023		2022		2021		2020		2019		Prior		Total
	(Dollars in millions)
Estimated mark-to-market LTV ratio:(2)
20- and 30-year or more, amortizing fixed-rate:
Less than or equal to 80%	$	148,641	$	314,384	$	889,434	$	767,596	$	136,654	$	648,964	$	2,905,673
Greater than 80% and less than or equal to 90%	57,686		95,509		38,790		3,424		804		1,082		197,295
Greater than 90% and less than or equal to 100%	61,658		35,602		4,002		363		71		189		101,885
Greater than 100%	1,000		1,764		189		47		17		172		3,189
Total 20- and 30-year or more, amortizing fixed-rate	268,985		447,259		932,415		771,430		137,546		650,407		3,208,042
Current-year 20- and 30-year or more,      amortizing fixed-rate write-offs	$	2	$	35	$	53	$	45	$	108	$	560	$	803
15-year or less, amortizing fixed-rate:
Less than or equal to 80%	7,110		35,224		165,294		117,795		17,162		84,222		426,807
Greater than 80% and less than or equal to 90%	581		647		52		2		—		1		1,283
Greater than 90% and less than or equal to 100%	259		58		1		—		—		1		319
Greater than 100%	1		2		—		—		—		1		4
Total 15-year or less, amortizing fixed-rate	7,951		35,931		165,347		117,797		17,162		84,225		428,413
Current-year 15-year or less, amortizing      fixed-rate write-offs	—		—		1		1		1		5		8
Adjustable-rate:
Less than or equal to 80%	1,566		4,452		5,945		1,654		710		9,716		24,043
Greater than 80% and less than or equal to 90%	499		1,030		90		6		2		3		1,630
Greater than 90% and less than or equal to 100%	299		330		11		—		—		1		641
Greater than 100%	14		29		1		—		—		—		44
Total adjustable-rate	2,378		5,841		6,047		1,660		712		9,720		26,358
Current-year adjustable-rate write-offs	—		1		—		—		—		2		3
Other:
Less than or equal to 80%	—		—		—		—		27		19,418		19,445
Greater than 80% and less than or equal to 90%	—		—		—		—		—		81		81
Greater than 90% and less than or equal to 100%	—		—		—		—		—		39		39
Greater than 100%	—		—		—		—		—		35		35
Total other	—		—		—		—		27		19,573		19,600
Current-year other write-offs	—		—		—		—		—		52		52
Total for all classes by LTV ratio:(2)
Less than or equal to 80%	$	157,317	$	354,060	$	1,060,673	$	887,045	$	154,553	$	762,320	$	3,375,968
Greater than 80% and less than or equal to 90%	58,766		97,186		38,932		3,432		806		1,167		200,289
Greater than 90% and less than or equal to 100%	62,216		35,990		4,014		363		71		230		102,884
Greater than 100%	1,015		1,795		190		47		17		208		3,272
Total	$	279,314	$	489,031	$	1,103,809	$	890,887	$	155,447	$	763,925	$	3,682,413
Total current-year write-offs	$	2	$	36	$	54	$	46	$	109	$	619	$	866

(1)Excludes amortized cost of $4.3 billion and $5.5 billion as of June 30, 2024 and December 31, 2023, respectively, of mortgage loans guaranteed or insured, in whole or in part, by the U.S. government or one of its agencies, which represents primarily reverse mortgages for which we do not calculate an estimated mark-to-market LTV ratio. For the three months ended June 30, 2024 and year ended December 31, 2023, it also excludes write-offs of $39 million and $7 million, respectively, of mortgage loans guaranteed or insured, in whole or in part, by the U.S. government or one of its agencies. Year of loan origination may not be the same as the period in which we subsequently acquired the loan.

(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.

The following tables display the total amortized cost of our multifamily HFI loans by year of origination and credit-risk rating, excluding loans for which we have elected the fair value option. Property rental income and property valuations are key inputs to our internally assigned credit risk ratings. The tables below also include current year write-offs of our multifamily HFI mortgage loans by year of origination, excluding loans for which we have elected the fair value option.

	Credit Quality Indicators as of June 30, 2024 and Write-offs for the Six Months Ended June 30, 2024, by Year of Origination(1)
	2024		2023		2022		2021		2020		Prior		Total
	(Dollars in millions)
Internally assigned credit risk rating:
Pass(2)	$	15,261	$	53,341	$	50,617	$	60,102	$	72,560	$	186,999	$	438,880
Special mention(3)	19		—		13		419		14		98		563
Substandard(4)	—		772		9,520		3,583		2,530		15,006		31,411
Doubtful(5)	—		—		12		—		—		—		12
Total	$	15,280	$	54,113	$	60,162	$	64,104	$	75,104	$	202,103	$	470,866
Current-year write-offs	$	—	$	29	$	27	$	11	$	16	$	88	$	171

	Credit Quality Indicators as of December 31, 2023 and Write-offs for the Year Ended December 31, 2023, by Year of Origination(1)
	2023		2022		2021		2020		2019		Prior		Total
	(Dollars in millions)
Internally assigned credit risk rating:
Pass(2)	$	49,944	$	51,380	$	60,563	$	72,791	$	56,901	$	136,860	$	428,439
Special mention(3)	4		11		181		32		46		130		404
Substandard(4)	521		9,517		3,654		2,703		3,893		12,188		32,476
Doubtful(5)	25		—		—		—		10		—		35
Total	$	50,494	$	60,908	$	64,398	$	75,526	$	60,850	$	149,178	$	461,354
Current-year write-offs	$	—	$	3	$	4	$	6	$	23	$	365	$	401

(1)Year of loan origination may not be the same as the period in which we subsequently acquired the loan.

(2)A loan categorized as “Pass” is current or adequately protected by the current financial strength and debt service capability of the borrower.

(3)“Special mention” refers to loans that are otherwise performing but have potential weaknesses that, if left uncorrected, may result in deterioration in the borrower’s ability to repay in full.

(4)Loans classified as “Substandard” have a well-defined weakness that jeopardizes the timely full repayment. We had seniors housing loans with an amortized cost of $5.1 billion and $6.9 billion as of June 30, 2024 and December 31, 2023, respectively, classified as substandard.

(5)“Doubtful” refers to a loan with a weakness that makes collection or liquidation in full highly questionable and improbable based on existing conditions and values.

Loss Mitigation Options for Borrowers Experiencing Financial Difficulty

As part of our loss mitigation activities, we offer several types of loan restructurings to assist borrowers who experience financial difficulties. We do not typically offer principal forgiveness to our single-family or multifamily borrowers.

For single-family borrowers, we may offer loan restructurings that are only in the form of a payment delay (e.g., a forbearance plan, a repayment plan, or a payment deferral). We may also offer loan modifications that contractually change the terms of the loan, generally after the successful completion of a three to four month trial period. Single-family loan modifications may result in the capitalization of past due amounts (a form of payment delay), an interest rate reduction, a term extension, a principal forbearance (which is another form of payment delay), or a combination thereof. During the trial period, the borrower makes reduced payments that are an estimate of the anticipated modified payment amount. Additionally, during the trial period, the mortgage loan is not contractually modified such that the loan continues to be reported as past due and the trial period is considered a form of payment delay with respect to the original contractual terms of the loan. See “Note 4, Mortgage Loans” in our 2023 Form 10-K for additional information about our single-family loss mitigation options.

For multifamily borrowers, loan restructurings include short-term forbearance plans and loan modification programs, which primarily result in term extensions of up to one year with no change to the loan’s interest rate. In certain cases, we may make more significant modifications of terms for borrowers experiencing financial difficulty, such as reducing the interest rate, converting to interest-only payments, extending the maturity for longer than one year, providing principal forbearance, or some combination of these terms. In some instances when a loan is restructured, we may require additional collateral, which may take the form of a guaranty from another entity, to further mitigate the risk of nonperformance.

Below we provide disclosures relating to loan restructurings where borrowers were experiencing financial difficulty, including restructurings that resulted in an insignificant payment delay. The disclosures exclude loans classified as HFS and those for which we have elected the fair value option. See “Note 1, Summary of Significant Accounting Policies” in our 2023 Form 10-K for additional information on our accounting policies for single-family and multifamily loans that have been restructured.

Restructurings for Borrowers Experiencing Financial Difficulty

The following tables display the amortized cost of HFI mortgage loans that were restructured, during the periods indicated, presented by portfolio segment and class of financing receivable.

	For the Three Months Ended June 30, 2024
	Payment Delay (Only)
	Forbearance Plan		Payment Deferral		Trial Modification and Repayment Plans		Payment Delay and Term Extension(1)		Payment Delay, Term Extension, Interest Rate Reduction, and Other(1)		Total		Percentage of Total by Financing Class(2)
	(Dollars in millions)
Single-family:
20- and 30-year or more, amortizing fixed-rate	$	4,905	$	2,733	$	4,498	$	2,438	$	32	$	14,606	* %
15-year or less, amortizing fixed-rate	195		84		162		1		—		442		*
Adjustable-rate	25		12		15		—		—		52		*
Other	25		38		56		28		12		159		1
Total single-family	5,150		2,867		4,731		2,467		44		15,259		*
Multifamily	29		—		—		—		57		86		*
Total(3)	$	5,179	$	2,867	$	4,731	$	2,467	$	101	$	15,345	*

	For the Six Months Ended June 30, 2024
	Payment Delay (Only)
	Forbearance Plan		Payment Deferral		Trial Modification and Repayment Plans		Payment Delay and Term Extension(1)		Payment Delay, Term Extension, Interest Rate Reduction, and Other(1)		Total		Percentage of Total by Financing Class(2)
	(Dollars in millions)
Single-family:
20- and 30-year or more, amortizing fixed-rate	$	6,698	$	6,155	$	6,626	$	4,605	$	62	$	24,146	1	%
15-year or less, amortizing fixed-rate	271		199		235		2		1		708		*
Adjustable-rate	36		29		22		—		2		89		*
Other	38		82		92		55		23		290		1
Total single-family	7,043		6,465		6,975		4,662		88		25,233		1
Multifamily	31		—		—		—		62		93		*
Total(3)	$	7,074	$	6,465	$	6,975	$	4,662	$	150	$	25,326	1

	For the Three Months Ended June 30, 2023
	Payment Delay (Only)
	Forbearance Plan		Payment Deferral		Trial Modification and Repayment Plans		Payment Delay and Term Extension(1)		Payment Delay, Term Extension and Interest Rate Reduction(1)		Total		Percentage of Total by Financing Class(2)
	(Dollars in millions)
Single-family:
20- and 30-year or more, amortizing fixed-rate	$	8,107	$	2,689	$	3,444	$	1,746	$	80	$	16,066	1	%
15-year or less, amortizing fixed-rate	339		116		132		1		—		588		*
Adjustable-rate	46		10		12		—		1		69		*
Other	89		36		86		35		17		263		1
Total single-family	8,581		2,851		3,674		1,782		98		16,986		*
Multifamily	423		—		—		—		525		948		*
Total(3)	$	9,004	$	2,851	$	3,674	$	1,782	$	623	$	17,934	*

	For the Six Months Ended June 30, 2023
	Payment Delay (Only)
	Forbearance Plan		Payment Deferral		Trial Modification and Repayment Plans		Payment Delay and Term Extension(1)		Payment Delay, Term Extension and Interest Rate Reduction(1)		Total		Percentage of Total by Financing Class(2)
	(Dollars in millions)
Single-family:
20- and 30-year or more, amortizing fixed-rate	$	10,410	$	6,207	$	5,202	$	3,487	$	338	$	25,644	1	%
15-year or less, amortizing fixed-rate	451		264		203		1		—		919		*
Adjustable-rate	55		27		18		—		2		102		*
Other	137		84		134		69		45		469		2
Total single-family	11,053		6,582		5,557		3,557		385		27,134		1
Multifamily	784		—		—		—		534		1,318		*
Total(3)	$	11,837	$	6,582	$	5,557	$	3,557	$	919	$	28,452	1

*    Represents less than 0.5% of total by financing class.

(1)    Represents loans that received a contractual modification.

(2)    Based on the amortized cost basis as of period end, divided by the period-end amortized cost basis of the corresponding class of financing receivable.

(3)    Excludes loans that were the subject of loss mitigation activity during the period that paid off, repurchased or sold prior to period end. Also excludes loans that liquidated either through foreclosure, deed-in-lieu of foreclosure, or a short sale. Loans may move from one category to another, as a result of the restructuring(s) they received during the period.

Our estimate of future credit losses uses a lifetime methodology, derived from modeled loan performance based on extensive historical experience of loans with similar risk characteristics, adjusted to reflect current conditions and reasonable and supportable forecasts. The historical loss experience used in our single-family and multifamily credit loss models includes the impact of the loss mitigation options provided to borrowers experiencing financial difficulty, and also includes the impact of projected loss severities as a result of a loan default.

The following table summarizes the financial impacts of loan modifications and payment deferrals made to single-family HFI loans presented by class of financing receivable. We discuss the qualitative impacts of forbearance plans, repayment plans, and trial modifications earlier in this footnote. As a result, those loss mitigation options are excluded from the table below.

	For the Three Months Ended June 30,
	2024					2023
	Weighted-Average Interest Rate Reduction		Weighted-Average Term Extension (in Months)	Average Amount Capitalized as a Result of a Payment Delay(1)		Weighted- Average Interest Rate Reduction		Weighted- Average Term Extension (in Months)	Average Amount Capitalized as a Result of a Payment Delay(1)
Loan by class of financing receivable:(2)
20- and 30-year or more, amortizing fixed-rate	0.74	%	160	$	13,518	1.15	%	172	$	16,661
15-year or less, amortizing fixed-rate	2.72		87	10,601		2.50		79	14,819
Adjustable-rate	—		—	10,062		1.61		—	14,450
Other	0.52		143	18,995		1.34		172	21,304

	For the Six Months Ended June 30,
	2024					2023
	Weighted-Average Interest Rate Reduction		Weighted-Average Term Extension (in Months)	Average Amount Capitalized as a Result of a Payment Delay(1)		Weighted- Average Interest Rate Reduction		Weighted- Average Term Extension (in Months)	Average Amount Capitalized as a Result of a Payment Delay(1)
Loan by class of financing receivable:(2)
20- and 30-year or more, amortizing fixed-rate	0.87	%	161	$	13,675	1.09	%	173	$	16,864
15-year or less, amortizing fixed-rate	2.00		85	12,450		1.83		73	14,636
Adjustable-rate	2.00		—	11,822		1.76		—	15,228
Other	0.82		157	17,970		1.48		179	20,715

(1)    Represents the average amount of delinquency-related amounts that were capitalized as part of the loan balance. Amounts are in whole dollars.

(2)    Excludes the financial effects of modifications for loans that were paid off or otherwise liquidated as of period-end.

The following tables display the amortized cost of HFI loans that defaulted during the period and had received a completed modification or payment deferral in the twelve months prior to the payment default. For purposes of this disclosure, we define loans that had a payment default as 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 loans that receive a forbearance plan, repayment plan or trial modification, these loss mitigation options generally remain in default until the loan is no longer delinquent as a result of the payment of all past-due amounts or as a result of a loan modification or payment deferral. Therefore, forbearance plans, repayment plans and trial modifications are not included in default tables below.

		For the Three Months Ended June 30, 2024
		Payment Delay as a Result of a Payment Deferral (Only)		Payment Delay and Term Extension		Payment Delay, Term Extension, Interest Rate Reduction and Other		Total
	(Dollars in millions)
Single-family:
20- and 30-year or more, amortizing fixed-rate		$	1,178	$	625	$	9	$	1,812
15-year or less, amortizing fixed-rate		31		—		—		31
Adjustable-rate		3		—		1		4
Other		16		8		5		29
Total single-family		1,228		633		15		1,876
Multifamily		—		—		13		13
Total loans that subsequently defaulted(1)(2)		$	1,228	$	633	$	28	$	1,889

		For the Six Months Ended June 30, 2024
		Payment Delay as a Result of a Payment Deferral (Only)		Payment Delay and Term Extension		Payment Delay, Term Extension, Interest Rate Reduction and Other		Total
	(Dollars in millions)
Single-family:
20- and 30-year or more, amortizing fixed-rate		$	1,727	$	925	$	18	$	2,670
15-year or less, amortizing fixed-rate		51		—		—		51
Adjustable-rate		5		—		2		7
Other		23		11		8		42
Total single-family		1,806		936		28		2,770
Multifamily		—		—		18		18
Total loans that subsequently defaulted(1)(2)		$	1,806	$	936	$	46	$	2,788

	For the Three Months Ended June 30, 2023
	Payment Delay as a Result of a Payment Deferral (Only)		Payment Delay and Term Extension		Payment Delay, Term Extension and Interest Rate Reduction		Total
	(Dollars in millions)
Single-family:
20- and 30-year or more, amortizing fixed-rate	$	819	$	327	$	197	$	1,343
15-year or less, amortizing fixed-rate	27		—		—		27
Adjustable-rate	2		—		2		4
Other	11		7		10		28
Total single-family	859		334		209		1,402
Multifamily	—		—		1		1
Total loans that subsequently defaulted(1)(2)	$	859	$	334	$	210	$	1,403

	For the Six Months Ended June 30, 2023
	Payment Delay as a Result of a Payment Deferral (Only)		Payment Delay and Term Extension		Payment Delay, Term Extension and Interest Rate Reduction		Total
	(Dollars in millions)
Single-family:
20- and 30-year or more, amortizing fixed-rate	$	1,290	$	446	$	385	$	2,121
15-year or less, amortizing fixed-rate	44		—		1		45
Adjustable-rate	3		—		2		5
Other	18		11		19		48
Total single-family	1,355		457		407		2,219
Multifamily	—		—		1		1
Total loans that subsequently defaulted(1)(2)	$	1,355	$	457	$	408	$	2,220

(1)    Represents amortized cost as of period end. Excludes loans that liquidated either through foreclosure, deed-in-lieu of foreclosure, or a short sale.

(2)    The substantial majority of loans that received a completed modification or a payment deferral during for the three months ended June 30, 2024 did not default during the second quarter of 2024. The substantial majority of loans that received a completed modification or a payment deferral during the three months ended June 30, 2023 did not default during the second quarter of 2023.

The following tables display an aging analysis of HFI mortgage loans that were restructured during the twelve months prior to June 30, 2024 and June 30, 2023, respectively, presented by portfolio segment and class of financing receivable.

	As of June 30, 2024(1)
	30-59 Days Delinquent		60-89 Days Delinquent(2)		Seriously Delinquent		Total Delinquent		Current		Total
	(Dollars in millions)
Single-family:
20- and 30-year or more, amortizing fixed-rate	$	3,970	$	2,359	$	10,681	$	17,010	$	12,933	$	29,943
15-year or less, amortizing fixed-rate	116		63		348		527		403		930
Adjustable-rate	11		10		45		66		43		109
Other	60		36		124		220		180		400
Total single-family loans modified	4,157		2,468		11,198		17,823		13,559		31,382
Multifamily	—		N/A		361		361		883		1,244
Total loans restructured(3)	$	4,157	$	2,468	$	11,559	$	18,184	$	14,442	$	32,626

	As of June 30, 2023(1)
	30-59 Days Delinquent		60-89 Days Delinquent(2)		Seriously Delinquent		Total Delinquent		Current		Total
	(Dollars in millions)
Single-family:
20- and 30-year or more, amortizing fixed-rate	$	3,442	$	2,227	$	12,035	$	17,704	$	18,060	$	35,764
15-year or less, amortizing fixed-rate	114		82		447		643		639		1,282
Adjustable-rate	14		9		59		82		66		148
Other	82		43		251		376		400		776
Total single-family loans modified	3,652		2,361		12,792		18,805		19,165		37,970
Multifamily	—		N/A		380		380		969		1,349
Total loans restructured(3)	$	3,652	$	2,361	$	13,172	$	19,185	$	20,134	$	39,319

(1)    The substantial majority of loans that received a completed modification or a payment deferral during the second quarter of 2024 were not delinquent as of June 30, 2024. The substantial majority of loans that received a completed modification or a payment deferral during the second quarter of 2023 were not delinquent as of June 30, 2023.

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

(3)    Represents the amortized cost basis as of period end.

Nonaccrual Loans

We recognize interest income on an accrual basis except when we believe the collection of principal and interest is not reasonably assured. This generally occurs when a single-family loan is three or more months past due and a multifamily loan is two or more months past due according to its contractual terms. A loan is reported as past due if a full payment of principal and interest is not received within one month of its due date. When a loan is placed on nonaccrual status based on delinquency status, interest previously accrued but not collected on the loan is reversed through interest income.

Cost basis adjustments on HFI loans are amortized into interest income over the contractual life of the loan using the effective interest method. Cost basis adjustments on the loan are not amortized into income while a loan is on nonaccrual status. We have elected not to measure an allowance for credit losses on accrued interest receivable balances as we have a nonaccrual policy to ensure the timely reversal of unpaid accrued interest.

For single-family loans, we recognize any contractual interest payments received on the loan while on nonaccrual status as interest income on a cash basis. For multifamily loans, we account for interest income on a cost recovery basis and we apply any payment received while on nonaccrual status to reduce the amortized cost of the loan. Thus, we do not recognize any interest income on a multifamily loan placed on nonaccrual status until the amortized cost of the loan has been reduced to zero.

A nonaccrual loan is returned to accrual status when the full collection of principal and interest is reasonably assured. We generally determine that the full collection of principal and interest is reasonably assured when the loan returns to current payment status. If a loan is restructured for a borrower experiencing financial difficulty, we require a performance period of up to 6 months before we return the loan to accrual status. Upon a loan’s return to accrual status, we resume the recognition of interest income on an accrual basis and the amortization of cost basis adjustments, if any, into interest income. If interest is capitalized pursuant to a restructuring, any capitalized interest that had not been previously recognized as interest income or that had been reversed through interest income when the loan was placed on nonaccrual status is recorded as a discount to the loan and amortized into interest income over the remaining contractual life of the loan.

The table below displays the accrued interest receivable written off through the reversal of interest income for nonaccrual loans.

		For the Three Months Ended June 30,
		2024		2023
	(Dollars in millions)
Accrued interest receivable written off through the reversal of interest income:
Single-family		$	97	$	74
Multifamily		4		33

		For the Six Months Ended June 30,
		2024		2023
	(Dollars in millions)
Accrued interest receivable written off through the reversal of interest income:
Single-family		$	179	$	153
Multifamily		6		35

The tables below include the amortized cost of and interest income recognized on our HFI single-family and multifamily loans on nonaccrual status by class, excluding loans for which we have elected the fair value option.

	As of						For the Three Months Ended June 30, 2024		For the Six Months Ended June 30, 2024
	June 30, 2024		March 31, 2024		December 31, 2023
	Amortized Cost(1)						Total Interest Income Recognized(2)
	(Dollars in millions)
Single-family:
20- and 30-year or more, amortizing fixed-rate	$	22,183	$	22,712	$	21,971	$	45	$	124
15-year or less, amortizing fixed-rate	704		734		727		1		3
Adjustable-rate	117		115		109		—		1
Other	496		480		508		2		4
Total single-family	23,500		24,041		23,315		48		132
Multifamily	1,836		1,812		1,890		24		26
Total nonaccrual loans	$	25,336	$	25,853	$	25,205	$	72	$	158

	As of						For the Three Months Ended June 30, 2023		For the Six Months Ended June 30, 2023
	June 30, 2023		March 31, 2023		December 31, 2022
	Amortized Cost(1)						Total Interest Income Recognized(2)
	(Dollars in millions)
Single-family:
20- and 30-year or more, amortizing fixed-rate	$	17,051	$	14,172	$	9,447	$	15	$	79
15-year or less, amortizing fixed-rate	565		429		200		—		1
Adjustable-rate	85		75		53		—		—
Other	573		601		617		2		4
Total single-family	18,274		15,277		10,317		17		84
Multifamily	1,448		1,541		2,200		2		10
Total nonaccrual loans	$	19,722	$	16,818	$	12,517	$	19	$	94

(1)Amortized cost is presented net of any write-offs, which are recognized when a loan balance is deemed uncollectible.

(2)Interest income recognized includes amortization of any deferred cost basis adjustments while the loan is performing and that is not reversed when the loan is placed on nonaccrual status. For single-family, interest income recognized includes payments received on nonaccrual loans held as of period end.