Housing regulators take steps to further clamp down on government-sponsored enterprises
Government-sponsored entities Fannie Mae, Freddie Mac, and the Federal Home Loan Banks are facing tighter oversight from their regulators.
Last Thursday, the US Department of Housing and Urban Development (HUD) and the Federal Housing Finance Agency (FHFA) signed a memorandum of understanding (MOU) to strengthen their enforcement of the Fair Housing Act that protects individuals from housing discrimination.
The agencies said that the “first-of-its-kind collaborative agreement” promotes information sharing, coordination on investigations, compliance reviews, and the ongoing monitoring of Fannie and Freddie. FHFA and HUD will consult with one another on current and potential investigations of fair housing and fair lending laws.
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​Speaking about the agreement, HUD secretary Marcia Fudge commented that stepping up their collective fair housing oversight of the enterprises will make an enormous impact on lives and communities
“Today’s signing is an important and historic step to advance and strengthen the enforcement of our nation’s fair housing and fair lending requirements. FHFA oversees entities that have significant control over a large share of the mortgage market,” she said. “We are prioritizing the work required to remove barriers that have created separate and unequal neighborhoods and limited access to housing opportunity and wealth building. I look forward to working with FHFA to make a meaningful impact in this space.”
“FHFA does not tolerate housing discrimination,” said FHFA acting director Sandra Thompson. “Today’s MOU allows FHFA and HUD to share information and resources to improve fair lending oversight over the mortgage finance system. I am pleased to work with secretary Fudge on the important work of fulfilling the Fair Housing Act’s promise of equal access to safe, decent, and affordable housing for all Americans.”
