The accomplishments of our Targeted Affordable Housing (TAH) business in 2025 are truly remarkable. Thanks to our dedicated teams, Optigo® lenders and industry partners, we achieved a record-breaking $13.9 billion in affordable housing funding, a 45% increase from 2024, and we fulfilled all our affordable housing goals, including 100,000 low-income (LI) units and 45,000 very low-income (VLI) units. Despite market challenges, we raised the bar and continued to supply vital affordable housing for communities that need it most.

Sustaining New Heights with Operational Excellence

Throughout 2025, we executed across our core suite of TAH products, ranging from taxable Cash Preservation loans to Tax-Exempt loans with tax credits, but most notably, we set another record with forward rate-locks, rate locking $4.2 billion. We also invested a record $1.2 billion in Low-Income Housing Tax Credit (LIHTC) equity investments. In total, our forwards helped create roughly 32,000 new or rehabilitated affordable housing units.

In anticipation of changes to the 25% test, we made strategic tweaks to our 4% offering, ensuring we stayed ahead and better served the market through our competitive taxable tail offering. We also restarted the HUD Risk Share product to expand our offerings.

Operationally, we achieved great results, too. Our team underwrote over 900 loans, including 671 funded loans and 260 forward rate-locks, with some loans prepared for funding in 2026.

To further enhance customer experience, we have made significant staffing changes, promoting and moving employees into key positions. We also piloted the accountability-driving 3-10-3 underwriting concept in the fourth quarter, which we are still actively implementing, giving lenders and borrowers greater certainty of execution. These operational advancements, coupled with our investment in staff headcount and education, have positioned the Freddie Mac TAH Production and Underwriting teams for sustained growth in the years ahead.

Building for the Future

Our partnership and efficiency will remain paramount as we continue this trajectory. We encourage quality quote submission packages with the right amount of scenario requests and full underwriting packages that align with the quote and provide a clear path to closing.

As we celebrate this record-breaking year, we remain committed to delivering excellence, supporting affordable housing, and innovating for the future. Thank you for your partnership!