FHFA Sets 2023 Multifamily Loan Purchase Caps – NMP Skip to main content

FHFA Sets 2023 Multifamily Loan Purchase Caps

Nov 14, 2022
FHFA Foreclosure Prevention and Refinance Report

The cap is set at $75 billion each for Fannie Mae & Freddie Mac.

The Federal Housing Finance Agency (FHFA) has announced new multifamily loan purchase caps for Fannie Mae and Freddie Mac for 2023. 

The caps will be $75 billion for each government-sponsored enterprise (GSE), for a combined total of $150 billion to support the multifamily market, FHFA said. The 2023 caps reflect an anticipated contraction of the multifamily originations market in 2023, it said.

To ensure a strong focus on affordable housing and traditionally underserved markets, FHFA said, it will require that at least 50% of each GSE’s multifamily business be mission-driven affordable housing.

“The 2023 multifamily loan caps, coupled with a new mission-driven category for workforce housing properties, will continue to ensure that the enterprises have a strong commitment to addressing the need for affordable housing,” said Director Sandra L. Thompson. “The new workforce housing category will provide incentives for conventional borrowers to maintain rents at affordable levels for extended periods of time.”

In addition to announcing the new caps, FHFA also has changed certain definitions of multifamily mission-driven affordable housing in Appendix A of the Conservatorship Scorecard.

In 2023, FHFA will allow loans to finance energy or water efficiency improvements with units affordable at or below 80% of area median income (AMI) to be classified as mission-driven, up from 60% AMI in 2022. The increase will allow the GSEs to expand their efforts on energy and water conservation measures at workforce housing properties, FHFA said.

To ensure that Fannie and Freddie continue to provide sufficient liquidity and support in the multifamily mortgage market, FHFA will continue to monitor the multifamily mortgage market and will update the multifamily caps and mission-driven requirements if adjustments are warranted, it said. 

To prevent market disruption, however, if FHFA determines that the actual size of the 2023 market is smaller than was initially projected, FHFA will not reduce the caps, it said.

About the author
David Krechevsky was an editor at NMP.
Published
Nov 14, 2022
What The 2026 Election Means For Mortgage Professionals

CHLA’s Scott Olson examines how the next Congress could reshape housing tax breaks, lending costs, and access to homeownership — and where bipartisan deals remain possible

Oct 22, 2026
Servicer Takes New York Payment-Fee Fight To Federal Court

Onity Group says the state hasn’t clearly defined how fees for optional expedited payments must relate to the cost of providing the service

January’s Condo Reserve Increase Puts Project Budgets In Focus

Fannie Mae and Freddie Mac’s higher allocation requirement gives LOs reason to review association finances now, while California’s new funding duties begin in 2032

California Probes Lenders Over Delayed Wildfire Insurance Payouts

State regulators are examining access to rebuilding funds, while CalHFA offers financing tools for eligible disaster survivors

One In Three Americans Blame Lenders For Housing Crisis Ahead Of Midterms

Voters want lower taxes, insurance costs, and mortgage rates, but 63% doubt the election will improve housing

Oct 20, 2026