Rental Housing
Freddie Mac's statutory mission is to support residential housing, not just homeownership. We have an active multifamily business that finances mortgages for apartment buildings across the country. Since we were created, Freddie Mac has made home possible for more than 5 million renters. Today we are the second largest source of funding to the multifamily market.
Affordable housing is at the center of this business. More than 90% of the multifamily mortgages we finance support individuals or families earning at or below the local area median income. Even though our business volume typically represents just a small percent of Freddie Mac's overall business, multifamily mortgages comprise almost a third of our company's affordable housing units.
During the housing and credit boom, Freddie Mac didn't agree with the market's view on risk, so we consciously reduced our multifamily market share. As a result, our multifamily business managed to avoid the worst of the bust and instead, was able to finance approximately one out of every three multifamily loans during the current housing crisis.
Throughout this time, we have focused on keeping the multifamily markets liquid with mortgage funding as most other sources of liquidity withdrew. Between Freddie Mac and Fannie Mae, we have been financing the majority of all multifamily mortgages. Last year alone we funded nearly 321,000 units of rental housing, and another 86,000 in the first quarter of 2012.
By maintaining responsible credit standards, we have kept our serious multifamily loan delinquency rate among the lowest in the industry.
Freddie Mac's Multifamily Delinquency Rates are Among the Lowest in the Industry
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Multifamily Delinquency Rates
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