fannie mae and freddie mac On Wednesday, it announced a new update to its Equitable Housing Finance Plan, which outlines an expansion of accessible and affordable housing available to underserved communities.
fannie mae is expanding a series of pilot programs, launching new initiatives and applying new research to understand the roadmap for the consumer housing journey. freddie mac expands its Special Purpose Credit Program (SPCP), increases the availability of attached housing units (ADUs) and manufactured homes, and provides correspondent lending programs to help smaller financial institutions access Freddie Mac’s multifamily loans. is starting.
In addition, Freddie Mac’s DPA One, a down payment digital platform, will become broadly available this year, complementing Freddie Mac’s SPCP initiative.
“Since we started planning in 2022, we have been very active in identifying meaningful ways to address the historical challenges faced by underserved communities, especially Black and Latinx people. progress,” said Katrina Jones, Vice President of Racial Equity Strategy and Impact at Fanny. Before. “Add the current challenges of an inadequate supply of affordable housing and high housing costs, and overcoming the barriers to housing seems more difficult than ever. We are committed to making it more fair and equitable.”
Freddie Mac said that plans are already underway and outlined additional changes to implement.
Freddie Mac CEO Michael DeVito said: “We made meaningful progress last year, but we know there is still much more to do. It shows the efforts of
The specific actions that Fannie Mae takes are: blog postThe SPCP is expected to be used as a tool to “help people in the majority Black and Latino communities buy their first homes.” The GSE also “created and implemented innovative ways to help people qualify for mortgages, even with poor credit histories.”
According to Jones, access to housing counseling is important for Fannie Mae to reach her goals.
“After completing over 11,000 counseling sessions in 2022 specifically for homeownership needs, this year we will help those facing financial hardship and provide information for long-term housing safety and stability. We are expanding our efforts to improve access to,” Jones said. We also work with industry partners like HUD to provide comprehensive counseling opportunities for those in need and test new counseling services in different regions of the country. ”
SPCP is a central component of Freddie Mac’s plan, and the organization intends to continue purchasing loans initiated through lender SPCP, with its own financial assistance offering down payment assistance and borrower education to eligible families. I am planning a program “Borrow Smart Access”.
Freddie Mac also says it helps renters on the road to home ownership in two ways. One, he says, is to establish and improve credit scores for renters transitioning to home ownership. “is.
Freddie Mac’s Lessee Credit Building Initiative, launched in late 2021; expanded Earlier this year, it has served 184,000 renters so far. It also resulted in 27,000 lessees establishing credit for the first time.
Freddie Mac President Michael Hutchins said: “Our 2023 plan incorporates new thinking and lessons learned to ensure it is as effective and impactful as possible.”
of National Association of Real Estate Brokers (NAREB) recently urged mortgage lenders to accelerate special purpose credit programs (SPCPs) to increase black homeownership and close the wealth gap between black and white Americans. rice field.