Moving Fannie and Freddie out of government conservatorship is likely to be a key priority for the incoming director
President-elect Donald Trump is nominating Bill Pulte as next director of the Federal Housing Finance Agency (FHFA), with the private equity executive expected to oversee plans to move mortgage giants Fannie Mae and Freddie Mac out of government conservatorship.
Trump made the announcement in a Truth Social post on Thursday, writing that Pulte “needs no formal introduction to the Great Citizens of our Country, because they have seen, and many have experienced, his philanthropy firsthand.”
The FHFA is likely to have a key role in handing Fannie and Freddie back to the private sector, with both government-sponsored enterprises (GSEs) having operated under government control since the global financial meltdown in 2008.
Pulte, whose grandfather William Pulte founded and served as chairman of homebuilding giant PulteGroup, is a familiar face within the US mortgage industry – and the announcement was welcomed by Mat Ishbia (pictured below), chief executive officer of United Wholesale Mortgage (UWM), who told Mortgage Professional America it was good news for the space.
“I think it’s really a positive thing, having someone from the industry that knows housing and mortgage, that can lead our industry and do things to help Fannie and Freddie make lending more affordable, create access for consumers,” Ishbia said on Thursday. “Getting someone that’s from our industry is definitely a win for everybody.”
Sandra Thompson, who’s served as FHFA head since 2022, is expected to retire on January 19, the day before Trump’s inauguration.
Trump’s first administration made some inroads into ending Fannie and Freddie’s conservatorship, with then-FHFA director Mark Calabria – appointed in 2019 – a vocal advocate for the GSEs’ independence.
Calabria explored options to recapitalize both entities and encouraged Congress to pass legislation to support long-term housing finance reform, although that progress stalled due to political disagreements over the scope and structure of reforms.
Resuming those efforts is expected to be among the incoming administration’s top priorities on the housing and mortgage fronts.
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