The Federal Housing Finance Agency (FHFA) proposed housing goals for Fannie Mae and Freddie Mac for 2022 to 2024. According to the organization, these goals will help ensure that Fannie and Freddie responsibly promote equitable access to affordable housing that reaches low- and moderate-income families, minority communities, rural areas and other underserved populations.
This year, FHFA is proposing two new single-family home purchase subgoals to replace the existing low-income areas subgoal. One new subgoal targets minority communities while the other continues to target low-income neighborhoods.
The new minority subgoal will help improve access to fair and sustainable mortgage financing in communities of color. A mortgage qualifies if:
– The borrower earns below the area median income (AMI)
– The property is in a census tract where the median income is below AMI and minorities make up at least 30% of the population
“The new subgoal for minority census tracts was designed to help preserve and support affordable housing in communities of color. The subgoal benefits families at or below area median income, allowing them to stay in the communities they helped build,” said FHFA Acting Director Sandra L. Thompson. “The enterprises’ housing goals over the next three years should support equitable access to sustainable affordable housing opportunities in a safe and sound manner that bolsters the health of communities.”
