Fannie Mae provided more than $70 billion in financing to support the multifamily market in 2019, the highest volume in the history of its Delegated Underwriting and Servicing (DUS) program. Fannie Mae continues to build a broad and diverse investor base, while providing financing that meets the needs of our customers in all multifamily market segments in the United States, Fannie said in a release.
“Our DUS program is well positioned to support the secondary market and play a key role as a stable source of liquidity for rental housing and underserved communities,” Fannie Mae Multifamily Executive Vice President Jeffery Hayward said in the release. “Our goal is to build a profitable and sustainable book of business while continuing to provide support for the market.”
Fannie Mae’s Green mortgage-backed securities (MBS) issuances increased 13 percent to $22.8 billion in 2019, totaling $75 billion since the program’s inception in 2010. Fannie Mae Green MBS can be backed by green certified properties or properties targeting a significant reduction in energy or water consumption.
According to the release, Fannie Mae broadened the sources of liquidity available to the market in 2019 with its Multifamily Credit Risk Transfer (MCRT) program, which mitigates credit risk by transferring a portion of its risk to reinsurers and investors and increasing the role of private capital in the multifamily market.
“We want to thank our DUS lender partners for an outstanding 2019. Together, we supported all market segments and built a portfolio of mission-rich business,” Fannie Mae Multifamily Customer Engagement Senior Vice President Rob Levin said. “Our Multifamily Affordable Housing volume rose over 20 percent to $7.2 billion, demonstrating our firm commitment to the preservation of affordable housing for families across the country.”