NEW YORK — Standard & Poor’s for the first time has assigned Freddie Mac a ranking as a loan servicer, giving the government-controlled mortgage giant an “Above Average” ranking for its servicing of loans tied to rental apartment buildings.
Standard & Poor’s Ratings Services said Friday it based the assessment on Freddie’s seasoned management team, advanced technology and strong financial controls. S&P said its outlook for the ranking is stable.
The government rescued Freddie and larger sibling Fannie Mae during the 2008 financial crisis after they incurred massive losses on risky mortgages. The companies received taxpayer-funded loans totaling about $187 billion.
They have turned profitable in recent months as the housing market has recovered. McLean, Va.-based Freddie this month will have paid back about $37 billion of the $71.3 billion it received.