The Federal Housing Finance Agency (FHFA) released a new final rule on equitable housing finance plans this week.
The new final rule is related to its Fair Lending, Fair Housing, and Equitable Housing Finance Plans. The final rule codifies in regulation FHFA’s fair lending oversight requirements for the following:
- Fannie Mae and Freddie Mac and the Federal Home Loan Banks;
- Fannie and Freddie’s Equitable Housing Finance Plans;
- Collection of homeownership education, housing counseling, and language preference information from the Supplemental Consumer Information Form (SCIF); and
- New Federal Home Loan Bank reporting requirements.
Since the release of their plans in June 2022, Fannie and Freddie, or the Enterprises, have made significant progress towards ensuring all borrowers and renters have access to fair, sustainable, and equitable housing opportunities. They have served close to 2.6 million families under the plans by educating consumers, reducing closing costs, introducing innovation into underwriting, and combating appraisal bias. The Enterprises also propose new actions for 2024, including a focus on promoting homeownership for first-generation homebuyers.
“As we reflect on the significance of Fair Housing Month, FHFA and its regulated entities will continue to address barriers that make affordable housing difficult to find,” FHFA Director Sandra Thompson said. “These initiatives are critically important at a time when housing affordability remains a persistent challenge.”
FHFA will issue a request for input and conduct a listening session to seek public feedback to inform the next three-year plans. FHFA expects to hold a public listening session in June 2024, and anticipates releasing the next plans in January 2025.