WASHINGTON, DC – The Federal Housing Finance Agency (FHFA) is authorizing an expansion of rental housing assistance from Fannie Mae and Freddie Mac (the Corporations) by increasing each corporation’s multifamily loan purchase limit to $73 billion in 2025. The total multifamily market is worth $146 billion. The agency announced today that support will increase by more than 4% from 2024.
FHFA sets these limits annually, and they are later included in Appendix A of the Corporate Guardianship Scorecard, which is a set of annual priorities that companies are expected to meet. Multifamily mortgages that finance employee housing will be excluded from the 2025 cap, just as they were in 2024, when the cap was $70 billion for each company.
“The 2025 multifamily loan cap reflects the company’s strong commitment to providing liquidity to make home rentals more affordable,” said FHFA Director Sandra L. Thompson. said. “Furthermore, the continued workforce housing exemption continues to strengthen companies’ ability to support properties that maintain affordable rents, including properties preserved or created through company-sponsored affordable housing initiatives.” Masu.”
Over the past year, since workforce housing was exempted from the cap for the first time, both companies have experienced impressive growth in this important market segment. Additionally, FHFA continues to require that at least 50% of a company’s multifamily business be mission-driven.
The agency will continue to monitor the multifamily mortgage market and maintain the ability to further increase caps as needed to support market liquidity. However, to prevent market disruption, FHFA will not lower the cap if FHFA determines that the actual market size in 2025 is smaller than originally estimated.
2025 Multifamily Housing Cap Fact Sheet
2025 Appendix A
###
The Federal Housing Finance Agency regulates Fannie Mae, Freddie Mac, and 11 federal home loan banks. These government-backed companies provide more than $8.4 trillion to the U.S. mortgage market and financial institutions. Additional information is available at www.FHFA.gov, X @FHFA, YouTube, Facebook, and LinkedIn.
Contact: MediaInquiries@FHFA.gov
