FHFA Raises 2025 Multifamily Loan Purchase Caps to $73B per Agency

The Federal Housing Finance Agency (FHFA) has announced the 2025 multifamily volume cap structure for the Government-Sponsored Enterprises (GSEs) Fannie Mae and Freddie Mac. These caps are set each year to ensure enough liquidity for the multifamily market – with a particular emphasis on mission-driven housing – without crowding out private capital. 

For 2025, the FHFA has set the volume cap for loan purchases at $146 billion, or $73 billion for each Agency – a level determined by current market forecasts. This is a 4% increase from the 2024 cap of $140 billion; and while FHFA will continue to monitor the multifamily mortgage market in case of a need to increase caps, they will not decrease them for 2025.

The new cap structure continues the trend of providing additional benefits for affordable and workforce housing properties. It remains that 50% of the Agency’s business must be in support of mission-driven affordable housing and workforce housing properties are exempt from the volume caps.

According to a statement from FHFA Director Sandra L. Thompson in the FHFA’s press release, “the 2025 multifamily loan caps reflect the Enterprises’ strong commitment to provide liquidity to make renting a home more affordable. Additionally, the ongoing workforce housing exemption will continue to enhance the Enterprises’ ability to support properties that preserve affordable rents, including properties preserved or created through corporate-sponsored affordable housing initiatives.”

Both Fannie Mae and Freddie Mac have introduced loan programs that offer borrowers pricing incentives for creating or preserving units that are affordable at workforce levels. Contact your NewPoint Originator to learn more about workforce housing financing or the implications of the 2025 FHFA multifamily volume.