FHFA Announces More Than $1.1 Billion for Affordable Housing Programs
On February 28, Federal Housing Finance Agency (FHFA) Acting Director Sandra L. Thompson announced that the Housing Trust Fund and Capital Magnet Fund will receive a total of $1.138 billion for affordable housing initiatives from Fannie Mae and Freddie Mac (the Enterprises). This is the largest amount ever provided to these programs from the Enterprises.
The Housing Trust Fund, overseen by the U.S. Department of Housing and Urban Development, allocates funding annually to states and state-designated entities for the production or preservation of affordable housing through the acquisition, new construction, reconstruction, and/or rehabilitation of non-luxury housing. This program will receive $740 million, a $29 million increase from the previous year.
The Capital Magnet Fund, overseen by the U.S. Department of the Treasury, competitively awards money to finance affordable housing activities, as well as related economic development activities and community service facilities. This program will receive $398 million, a $15 million increase from the previous year.