FHFA Releases Duty-to-Serve Proposed Rule That Includes “Shared Equity Homeownership”
On December 15, the Federal Housing Finance Agency (FHFA) issued a new Duty to Serve proposed rule. The Duty to Serve requires Fannie Mae and Freddie Mac to increase their secondary market activities to help very low-, low-, and moderate-income families buy or rent homes. The proposal would require each company to develop a plan to support lending for three types of housing: 1) Manufactured housing, 2) Affordable housing preservation, and 3) Rural housing.
Under the second type of housing, the proposed rule would require that Fannie Mae and Freddie Mac consider undertaking Regulatory Activities that support preserving affordable homeownership for single-family properties under shared equity homeownership programs.
There will a 90-day public comment period on the proposed rule. The Network and Cornerstone Partnership will analyze the rule and submit public comments. FHFA will host a webinar on the Duty to Serve proposed rule at 2 p.m. EST, Tuesday, December 22. The webinar is intended to increase public awareness of the proposed rule, summarize its contents, and answer questions.