Regulation & Oversight

Freddie Mac was chartered by Congress [PDF 54K ] in 1970 as a private company with a single purpose: to provide a continuous and low-cost source of capital to finance America's housing. Federal oversight of us is focused on two main areas - our housing mission, and our financial safety and soundness.

The U.S. Department of Housing and Urban Development (HUD) oversees our housing mission. HUD also sets permanent affordable housing goals for us, based on income and population diversity. These goals require that a certain percentage of the mortgages we purchase help provide housing for low- and moderate-income families.

Our financial safety and soundness is regulated by the Office of Federal Housing Enterprise Oversight (OFHEO). Organizationally, OFHEO is located within HUD. However, it operates independently of the Secretary of HUD as it implements, monitors, and enforces capital standards for Freddie Mac.

Although we are a shareholder-owned corporation, our status as a government-sponsored enterprise (GSE) gives us certain benefits that help us fulfill our mission on behalf of America's homebuyers and renters. Read more about these GSE benefits and subsidies.