In a recent announcement, FHFA released figures for lending caps on Fannie Mae and Freddie Mac – each set at $35 billion, down from $36.5 billion in 2017. Certain loans related to affordable housing and underserved markets will continue to be excluded from these caps. New this year, are the following changes:
- Energy/Water Efficiency Improvements
To qualify as excluded from the caps, loans for these improvements must be made within Fannie’s Green Rewards or Freddie’s Green Up/Green Up Plus and must demonstrate at least a 25% energy or water savings.
- Affordable Units in Extremely High Cost Markets
Units at rents affordable to those at or below 120 percent of the area median income in extremely high cost markets will be eligible for exclusion from the cap on a pro-rata basis.
