The Federal Housing Finance Agency (FHFA) has issued proposed housing goals for Fannie Mae and Freddie Mac (GSEs) covering the period 2018 through 2020. The current housing goals expire at the end of 2017 and the new proposed goals that would begin in 2018 are open for comment over the next 60 days.
The newly proposed goals cover both single family and multifamily purchases guidelines. For multifamily, under the proposed goals, companies would be required to purchase a higher number of rental units, raising the number of affordable units from 300,000 to 315,000.
- The production cap remains at $36.5 billion for each GSE
- Loans that are excluded from counting towards the cap remain unchanged. They include:
- Targeted affordable loans
- Small multifamily
- Blanket loans on manufactured housing
- Blanket loans on senior housing and assisted living
- Loans in rural areas
- Loans to finance energy or water efficiency
- Market rate affordable loans at various AMI’s
- Low-Income Housing goal- 315,000 units annually
- Very Low-Income goal- 60,000 units annually
- Small Multifamily Low-Income goal- 10,000 units annually
NMHC\NAA provided input to FHFA in their analysis of market conditions and the size of the market as cited in the proposed goals and is analyzing the document with the intent of submitting comment in the coming days. If interested in submitting comments, please use the comment form found here.
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- A Closer Look at FHFA’s Guidance for Multifamily
- FHFA Director Announces New Multifamily Loan Purchase Caps at NMHC’s Fall Meeting
- NMHC Members Meet with Leading Lawmakers
- FHFA Director Mark Calabria Announces Plan to Revise Multifamily Loan Purchase Caps at NMHC’s Fall Meeting