The Federal Housing Finance Agency has set the 2026 multifamily loan purchase caps for Fannie Mae and Freddie Mac at $88 billion for each enterprise (a total of $176 billion) — an overall increase of $30 million ($15 million each) from this year.
FHFA will require that at least 50% of the GSE’s multifamily businesses be “mission-driven, affordable housing.” As with the current year, multifamily loans that finance workforce housing will be excluded from 2026 limits. All other mission-driven loans remain subject to the volume caps, the agency said.
The agency also noted that it would continue to monitor the multifamily mortgage market and increase caps if necessary. “To prevent market disruption, if the agency determines that the actual size of the 2026 market is smaller than was initially projected, it will not reduce the caps,” according to a recent press release.
About 40% of the debt used to finance apartments and other types of multifamily housing typically comes from the agencies, according to market experts. Traditionally, when private credit sources are harder to come by (e.g., during the 2007-2009 global financial crisis), Fannie and Freddie assume a larger share of the multifamily market. When private debt is easier to secure, the GSEs take a smaller percentage.
