The Federal Housing Finance Agency (FHFA) announced today that multifamily lending caps for Fannie Mae and Freddie Mac will be $100 billion for each enterprise for the five-quarter period from the final quarter of 2019 all the way through 2020. The new caps apply to all multifamily business, with no exclusions.
By comparison, the 2019 caps were $35 billion each for Fannie and Freddie, with a number of exemptions, including affordable and energy-efficient green loans.
FHFA is directing that at least 37.5% of Fannie and Freddie’s multifamily business be mission-driven, affordable housing.
Loans that finance energy and water efficiency improvements will be considered conventional business, unless they meet other mission-driven affordability requirements.
NAHB is reviewing these changes in consultation with our multifamily members and industry partners. Our primary concern is assuring continued liquidity in the multifamily market through 2020.
Read FHFA’s press release
or contact Michelle Kitchen
at 800-368-5242 x8352 for more details.