Summary of Significant Accounting Policies	3 Months Ended
Mar. 31, 2026
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies Fannie Mae is a leading source of financing for residential mortgages in the United States. We are a government-sponsored, stockholder-owned corporation, chartered by Congress to provide liquidity and stability to the U.S. housing market and to promote access to mortgage credit. We primarily do this by buying residential mortgage loans that are originated by lenders. We place these loans into trusts and issue guaranteed mortgage-backed securities (“MBS”) that global investors buy from us. We do not originate mortgage loans or lend money directly to borrowers. We are currently operating under conservatorship, with the Federal Housing Finance Agency (“FHFA”) acting as conservator. See “Note 2, Conservatorship, Senior Preferred Stock Purchase Agreement and Related Matters” below and in our annual report on Form 10-K for the year ended December 31, 2025 (“2025 Form 10-K”) for information on our conservatorship, the senior preferred stock purchase agreement, the impact of U.S. government support of our business, and related party relationships. Basis of Presentation The accompanying unaudited interim condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). We are operating pursuant to the authority provided by FHFA as conservator and on the basis that we will realize assets and satisfy liabilities in the normal course of business as a going concern. These condensed consolidated financial statements include our accounts as well as the accounts of other entities in which we have a controlling financial interest, and all intercompany balances and transactions have been eliminated. The accompanying financial statements should be read in conjunction with our audited consolidated financial statements and related notes included in our 2025 Form 10-K. Certain disclosures are condensed or omitted from the accompanying financial statements as they are not required for interim financial statements under GAAP. In the opinion of management, the accompanying financial statements contain all adjustments, which include only normal recurring adjustments, necessary for a fair presentation of our results. The nature of our business is such that the results of any interim period are not necessarily indicative of results for a full year. We have reclassified certain amounts reported in our prior period consolidated financial statements to conform to our current-period presentation. As disclosed in our 2025 Form 10-K, beginning in the third quarter of 2025, we changed which financial instruments are presented as cash equivalents and restricted cash equivalents. This change in accounting principle was applied on a retrospective basis and the condensed consolidated statement of cash flows for the three months ended March 31, 2025 reflects (1) a decrease in cash used related to the net change in securities purchased under agreements to resell and related sub-totals by $549 million and (2) a decrease in the balance of cash and restricted cash at the beginning and end of the period of $40.3 billion and $39.7 billion, respectively. Use of Estimates Preparing condensed consolidated financial statements in accordance with GAAP requires management to make estimates and assumptions that affect our reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the dates of our condensed consolidated financial statements, as well as our reported amounts of revenues and expenses during the reporting periods. Management has made significant estimates in a variety of areas including, but not limited to, the allowance for loan losses. Actual results could be different from these estimates. Investments in Securities We present cash flows from trading securities and available-for-sale (“AFS”) securities as operating activities and investing activities, respectively, in our condensed consolidated statements of cash flows. Earnings per Share Earnings per share (“EPS”) is presented for basic and diluted EPS. For the three months ended March 31, 2026 and 2025, the weighted average shares outstanding used in the computation of basic and diluted EPS includes 4.7 billion shares of common stock that would be issuable upon full exercise of the common stock warrant issued to the U.S. Department of the Treasury (“Treasury”). For the calculation of diluted EPS, the weighted average shares outstanding is increased to include the number of additional common shares that would have been outstanding if the dilutive potential common shares had been issued. For the three months ended March 31, 2026 and 2025, our diluted EPS weighted-average shares outstanding includes the 26 million shares issuable upon the conversion of convertible preferred stock. Collateral We enter into various transactions related to financial instruments where we pledge and accept collateral, including derivative transactions and repurchase and reverse repurchase agreements. Pursuant to these arrangements, we posted U.S. Treasury securities of $9.1 billion and $8.2 billion as collateral, of which the substantial majority could be sold or repledged, as of March 31, 2026 and December 31, 2025, respectively. The fair value of non-cash collateral received was $38.4 billion and $45.6 billion, of which $37.5 billion and $43.4 billion could be sold or repledged as of March 31, 2026 and December 31, 2025, respectively. None of the underlying collateral we received was sold or repledged as of March 31, 2026 or December 31, 2025. Foreclosed Property We present property acquired through foreclosure in “Other assets” in our condensed consolidated balance sheets. We held $2.1 billion and $1.9 billion of acquired foreclosed property, net as of March 31, 2026 and December 31, 2025, respectively. New Accounting Guidance Purchased Financial Assets In November 2025, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2025-08, Financial Instruments—Credit Losses (Topic 326): Purchased Loans which amends the guidance to align the accounting for purchased seasoned loans with the accounting for purchases of financial assets that have experienced more-than-insignificant credit deterioration since origination. Specifically, the ASU requires a “gross-up approach” on purchased seasoned loans such that the initial measurement of the loan is equal to the purchase price plus the expected credit losses on the loan at the date of acquisition. Seasoned purchased loans include loans obtained in a business combination and loans acquired more than 90 days after their origination date by a transferee that was not involved in their origination. The ASU is effective for reporting periods beginning after December 15, 2026 and the guidance is applied prospectively to loans acquired on or after January 1, 2027. The adoption of this guidance is not expected to have a material impact on our consolidated financial statements.

Fannie Mae is a leading source of financing for residential mortgages in the United States. We are a government-sponsored, stockholder-owned corporation, chartered by Congress to provide liquidity and stability to the U.S. housing market and to promote access to mortgage credit. We primarily do this by buying residential mortgage loans that are originated by lenders. We place these loans into trusts and issue guaranteed mortgage-backed securities (“MBS”) that global investors buy from us. We do not originate mortgage loans or lend money directly to borrowers.

We are currently operating under conservatorship, with the Federal Housing Finance Agency (“FHFA”) acting as conservator. See “Note 2, Conservatorship, Senior Preferred Stock Purchase Agreement and Related Matters” below and in our annual report on Form 10-K for the year ended December 31, 2025 (“2025 Form 10-K”) for information on our conservatorship, the senior preferred stock purchase agreement, the impact of U.S. government support of our business, and related party relationships.

The accompanying unaudited interim condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). We are operating pursuant to the authority provided by FHFA as conservator and on the basis that we will realize assets and satisfy liabilities in the normal course of business as a going concern. These condensed consolidated financial statements include our accounts as well as the accounts of other entities in which we have a controlling financial interest, and all intercompany balances and transactions have been eliminated.

The accompanying financial statements should be read in conjunction with our audited consolidated financial statements and related notes included in our 2025 Form 10-K. Certain disclosures are condensed or omitted from the accompanying financial statements as they are not required for interim financial statements under GAAP. In the opinion of management, the accompanying financial statements contain all adjustments, which include only normal recurring adjustments, necessary for a fair presentation of our results. The nature of our business is such that the results of any interim period are not necessarily indicative of results for a full year. We have reclassified certain amounts reported in our prior period consolidated financial statements to conform to our current-period presentation.

As disclosed in our 2025 Form 10-K, beginning in the third quarter of 2025, we changed which financial instruments are presented as cash equivalents and restricted cash equivalents. This change in accounting principle was applied on a retrospective basis and the condensed consolidated statement of cash flows for the three months ended March 31, 2025 reflects (1) a decrease in cash used related to the net change in securities purchased under agreements to resell and related sub-totals by $549 million and (2) a decrease in the balance of cash and restricted cash at the beginning and end of the period of $40.3 billion and $39.7 billion, respectively.

Preparing condensed consolidated financial statements in accordance with GAAP requires management to make estimates and assumptions that affect our reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the dates of our condensed consolidated financial statements, as well as our reported amounts of revenues and expenses during the reporting periods. Management has made significant estimates in a variety of areas including, but not limited to, the allowance for loan losses. Actual results could be different from these estimates.

We present cash flows from trading securities and available-for-sale (“AFS”) securities as operating activities and investing activities, respectively, in our condensed consolidated statements of cash flows.

Earnings per share (“EPS”) is presented for basic and diluted EPS. For the three months ended March 31, 2026 and 2025, the weighted average shares outstanding used in the computation of basic and diluted EPS includes 4.7 billion shares of common stock that would be issuable upon full exercise of the common stock warrant issued to the U.S. Department of the Treasury (“Treasury”).

For the calculation of diluted EPS, the weighted average shares outstanding is increased to include the number of additional common shares that would have been outstanding if the dilutive potential common shares had been issued. For the three months ended March 31, 2026 and 2025, our diluted EPS weighted-average shares outstanding includes the 26 million shares issuable upon the conversion of convertible preferred stock.

We enter into various transactions related to financial instruments where we pledge and accept collateral, including derivative transactions and repurchase and reverse repurchase agreements.

Pursuant to these arrangements, we posted U.S. Treasury securities of $9.1 billion and $8.2 billion as collateral, of which the substantial majority could be sold or repledged, as of March 31, 2026 and December 31, 2025, respectively. The fair value of non-cash collateral received was $38.4 billion and $45.6 billion, of which $37.5 billion and $43.4 billion could be sold or repledged as of March 31, 2026 and December 31, 2025, respectively. None of the underlying collateral we received was sold or repledged as of March 31, 2026 or December 31, 2025.

We present property acquired through foreclosure in “Other assets” in our condensed consolidated balance sheets. We held $2.1 billion and $1.9 billion of acquired foreclosed property, net as of March 31, 2026 and December 31, 2025, respectively.

In November 2025, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2025-08, Financial Instruments—Credit Losses (Topic 326): Purchased Loans which amends the guidance to align the accounting for purchased seasoned loans with the accounting for purchases of financial assets that have experienced more-than-insignificant credit deterioration since origination. Specifically, the ASU requires a “gross-up approach” on purchased seasoned loans such that the initial measurement of the loan is equal to the purchase price plus the expected credit losses on the loan at the date of acquisition. Seasoned purchased loans include loans obtained in a business combination and loans acquired more than 90 days after their origination date by a transferee that was not involved in their origination.

The ASU is effective for reporting periods beginning after December 15, 2026 and the guidance is applied prospectively to loans acquired on or after January 1, 2027. The adoption of this guidance is not expected to have a material impact on our consolidated financial statements.