In addition to guaranteeing the majority of new residential mortgages across the country, HousingWire informs MHProNews Fannie Mae and Freddie Mac, the GSEs (government-sponsored enterprises), also guarantee half of the outstanding residential mortgage debt, with the private market picking up the other half. While the Congressional Budget Office (CBO) projects that Fannie and Freddie will wind down, the return to profitability for both will likely extend their strength and longevity in the mortgage market. As the result of the rebirth of the housing market, Fannie Mae posted a gain of $17.2 billion, its largest ever; and Freddie Mac earned net income of $11 billion.

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