11/14/2023 | Press release | Distributed by Public on 11/14/2023 12:04
Washington, D.C. -The Federal Housing Finance Agency (FHFA) announced today that the 2024 multifamily loan purchase caps for Fannie Mae and Freddie Mac (the Enterprises) will be $70 billion for each Enterprise, for a combined total of $140 billion to support the multifamily market.
To ensure a strong focus on affordable housing and underserved markets, FHFA will require that at least 50 percent of the Enterprises' multifamily businesses be mission-driven, affordable housing. In addition, for 2024, loans classified as supporting workforce housing properties in Appendix A of the Conservatorship Scorecard will be exempt from the volume caps. All other mission-driven loans remain subject to the volume caps.
"The 2024 multifamily loan caps, coupled with the exemption for workforce housing properties from the caps, will promote the Enterprises' continued strong commitment to addressing the need for affordable rental housing," said FHFA Director Sandra L. Thompson. "The workforce housing exemption should encourage conventional borrowers to commit to preserving rents at affordable levels for extended periods of time."
To ensure the Enterprises continue to provide sufficient liquidity and support in the multifamily mortgage market, FHFA will continue to monitor the multifamily mortgage market and will increase the caps if necessary. However, to prevent market disruption, if FHFA determines that the actual size of the 2024 market is smaller than was initially projected, FHFA will not reduce the caps.