Making an Impact through our Equitable Housing and Duty to Serve Plans
Yesterday, Freddie Mac published its Equitable Housing Performance Report, which details our progress in 2023 against our Equitable Housing Finance Plan objectives. Through this work, we continued to support the creation, preservation, and rehabilitation of affordable and workforce rental housing that is vital for renters across the country — and we found more ways to increase opportunities for renters by supporting the advancement of resident-centered housing features. We also made meaningful progress in our work to drive greater connection across the industry as we support diverse and emerging borrowers with initiatives that help bridge knowledge, relationship and financing gaps.
Exceeded Equitable Housing Goals
With the support of our Optigo® lender network, borrowers and other stakeholders, we’ve been working hard to foster a more equitable housing finance system. I’m proud to share that we achieved all our 2023 equitable housing goals and commitments. Here are just a few of the highlights:
- Supported the creation of more than 20,000 units through forward commitments, the rehabilitation of over 10,000 units and the preservation of affordability through Freddie Mac loan agreements of more than 3,200 units.
- Launched our Develop the Developer program in a new market — Milwaukee, Wisconsin — reinvesting in underserved communities by connecting local, aspiring developers with the tools and resources to grow their business and their communities.
- Enrolled a total of more than 500,000 residents in our Credit Building initiative and onboarded four new rent-reporting vendors.
- Established a resource center on resident-centered housing features that support the well-being of residents.
- Expanded our network of Renter Resource Organizations that are on the ground assisting renters throughout the Northeast, Southeast, Midwest, Southwest and the Western regions.
- Furthered the work of our Diverse & Emerging Sponsor steering committee through events and other networking opportunities that help uncover unique challenges facing these borrowers along with bridging knowledge, relationship and financing gaps.
Continued Driving Impact in Duty to Serve Markets
Freddie Mac also continued addressing the needs of the Affordable Housing Preservation, Manufactured and Rural multifamily housing markets through our Duty to Serve Plan initiatives.
In 2023, Freddie Mac provided nearly $13.2 billion in liquidity through its Duty to Serve Plan efforts in support of affordable rental housing preservation, impacting more than 84,500 rental units. We purchased loans supporting more than 43,000 Low-Income Housing Tax Credit units, nearly 28,000 Section 8 units, and more than 55,500 units benefiting from state and local subsidy programs.
We also extended tenant protections to 28,994 manufactured housing community pads. These renters now benefit from baseline standards that typically exceed state and local requirements. Freddie Mac also continued marketing its Resident-Owned Community (ROC) offering. In 2023, we purchased our fourth ROC loan.
In rural areas, we supported the creation and rehabilitation of affordable housing through our LIHTC equity investments benefiting 1,784 units in all rural regions, 318 units in high-needs rural regions and 183 units for high-needs populations in rural regions. For example, we invested in an affordable property like this one in rural Yakima Valley, Washington for farmworkers and their families.
Looking Ahead
We’re now in the final months of our current three-year Equitable Housing Finance and Duty to Serve plans and are well on our way toward reaching ambitious goals for 2024. Our focus is more critical than ever to support affordable housing across the country, as well as increase opportunities for renters and diverse borrowers and lenders.
As we develop the next 2025-2027 plans, we’re taking a close look at the market and gathering feedback from our partners and stakeholders on how we’ve done so far and where we’re heading, together.
We know how vital these efforts are for our industry, the nation’s renters and their families, and our communities. Thank you to all our partners who are working alongside us to transform ideas into reality — and to make a real impact in people’s lives nationwide.