- Business
- Federal National Mortgage Association (FNMA), commonly known as Fannie Mae, operates as a government-sponsored enterprise that provides liquidity, stability, and affordability to the U.S. mortgage market by purchasing mortgages from lenders, securitizing them into mortgage-backed securities (MBS), and selling those securities to investors; its single-family business acquires and oversees servicing of conventional loans, including fixed-rate and adjustable-rate products such as HomeReady mortgages with down payments as low as 3%, HFA Preferred loans, 97% loan-to-value options for first-time homebuyers, HomeStyle Renovation mortgages, manufactured housing financing via MH Advantage, Native American lending programs, down payment assistance, and shared equity initiatives; its multifamily business supports rental housing through financing for construction, renovation, and acquisition of apartment properties nationwide. Founded in 1938 during the Great Depression as part of the New Deal and headquartered at 1100 15th Street NW in Washington, DC, Fannie Mae primarily serves homebuyers, homeowners, renters, and lenders across the United States, enabling the standard 30-year fixed-rate mortgage and offering counseling networks like the Mortgage Help Network for those facing financial challenges. In recent developments, Fannie Mae reports its 31st consecutive profitable quarter with $3.9 billion in net income for Q3 2025, provides $287 billion in funding to the U.S. housing market through the first nine months of 2025 while helping 1,069,000 households, anticipates reaching its $73 billion multifamily lending cap set by the Federal Housing Finance Agency for 2025 amid strong origination volumes, releases Desktop Underwriter version 12.0 and tools like the Income Calculator to enhance underwriting for gig workers and rental income earners, and faces evaluation by the Trump administration for a potential public offering or release from conservatorship as early as late 2025 or 2026 to recapitalize and end government oversight.