GSEs Release ‘Duty to Serve’ Plans

The Federal Housing Finance Agency today outlined how Fannie Mae and Freddie Mac will work to improve the distribution and availability of safe and sound residential mortgage financing in underserved markets in 2021.

Under a 2016 final rule implementing the new “duty to serve” requirements, Fannie Mae and Freddie Mac must submit three-year draft plans detailing their planned activities and objectives for serving three underserved markets: manufactured housing, affordable housing preservation and rural housing. However, due to COVID-19-related uncertainties, FHFA instructed the GSEs to submit plans or 2021 only, as an extension of their 2018-2020 plans. The plans became effective Jan. 1.