The government-sponsored enterprises invested more than $1.7 billion in Low-Income Housing Tax Credit (LIHTC) equity last year, among other activities highlighted in their annual Housing Mission Report.
Released this week, the report outlines what Fannie Mae, Freddie Mac and the Federal Home Loan Banks did in 2023 to accomplish their missions.
“FHFA maintains a keen focus on ensuring the entities we regulate fulfill their missions to support access to housing opportunities in a safe and sound manner,” FHFA Director Sandra Thompson said in an announcement about the release. “Ongoing affordability challenges throughout the country only heighten the importance of this responsibility.”
The GSEs collectively purchased over 136,000 single-family mortgages for low- and moderate-income borrowers last year through their core affordable housing programs, HomeReady and Home Possible. Newly introduced enhancements to these programs included the addition of a $2,500 credit to assist very low-income borrowers with down payments and closing costs.
The GSEs also bought about 15,000 Special Purpose Credit Program (SPCP) loans throughout the year to support homeownership for underserved borrowers.
LIHTC properties represented more than 43% of the Federal Home Loan Banks’ total General Fund projects for the year.
The FHLBanks awarded $446.9 million through their Affordable Housing Programs in 2023, almost $180 million more than in 2022. This funding supported more than 33,000 housing units. In addition, the FHLBanks funded approximately $4.2 billion in Community Investment Program (CIP) housing advances in 2023, supporting almost 32,000 units, representing 11,000 more units than in 2022.
