How to Make the GSEs’ Equitable Housing Finance Plans More Impactful
June 26, 2024 by The report discusses the efforts of Fannie Mae and Freddie Mac to enhance affordable housing through their Equitable Housing Finance Plans (EHFPs). It highlights the importance of focusing on scalable programs, such as incorporating bank statement data and positive rental payment history into automated underwriting systems, to expand access to credit for first-time homebuyers. The report also emphasizes the need for better information on program impacts and consistent reporting to evaluate the effectiveness of these initiatives. Additionally, it suggests that the GSEs should leverage their strengths in standardization and liquidity to make transformative changes in the housing market. Finally, the report calls for greater transparency and accountability from the Federal Housing Finance Agency (FHFA) to ensure the success of these plans.