WASHINGTON - Freddie Mac's third-quarter earnings climbed as the refinancing boom continued.
The company, formally the Federal Home Loan Mortgage Corp., announced Monday that its net income rose 24% to $200 million for the quarter ended Sept. 30.
The company's net interest margin, which includes income from its loan portfolio and guarantee fees from securitized loans less the cost of debt to finance the portfolio, was $469 million, up from $419 million in the same quarter last year.
Other income, which primarily includes income from Remics, was $41 million, up from $15 million in the quarter last year. Net float loss was $70 million in the third quarter, up $35 million from the level in the quarter last year, but less than the float loss of $114 million a year earlier.
Float loss is the difference between interest earned and interest paid on mortgage repayments received, but not yet paid to investors.