Fannie Mae and Freddie Mac to Invest More in Low-Income Apartment Communities
Digested from “2015-2017 Housing Goals for Fannie Mae and Freddie Mac Finalized”
JD Supra Business Advisor (9/11/15) Meyer, Emily
Freddie Mac and Fannie Mae received approved 2015-2017 goals from the Federal Housing Finance Agency (FHFA) last month. The goals include doubling their low-income multifamily goals to 300,000 apartment homes. That benchmark reflects a 50,000-unit increase for Fannie Mae and a 100,000-unit increase for Freddie Mac over 2014. It also includes a target of 60,000 units each for very low-income families, up 20,000 from 2014 for Freddie Mac.
Also, goals on mortgage purchases on small multifamily properties affordable to low-income families were revised to 6,000 units in 2015, 8,000 units in 2016 and 10,000 units in 2017. The single-family low-income home purchase target will increase 1 percentage point to 24 percent each year for the three-year time frame. The single-family very low-income home purchases goal, however, will decrease 1 percentage point to 6 percent each year from 7 percent in 2014.
The rule will become effective Oct. 3.