Federal National Mortgage Association

Fannie Mae helps make home loans more available in the U.S. It buys mortgages from banks and turns them into securities for investors. This helps lenders offer more loans to families and renters.

Mortgage Magic: What Fannie Mae Offers

• Single-Family Mortgage Securitization (84% of revenue): Turns home loans into securities, helping banks lend to more homebuyers.
• Multifamily Mortgage Securitization (16% of revenue): Converts apartment building loans into securities, supporting rental housing finance.
• Credit Risk Management: Shares mortgage risk with investors, protecting lenders from large losses.
• Loan Servicing Support: Helps manage payments, defaults, and loan modifications for both home and rental loans.
• Affordable Housing Initiatives: Invests in projects for low-income renters and supports government housing goals.

Growth Spurts and Strategic Moves

• Expanded credit risk transfer programs since 2013, sharing more risk with private investors.
• Launched automated underwriting updates in 2024 to improve loan access and risk checks.
• Increased multifamily loan purchase cap to $73 billion for 2025, supporting more rental housing finance.
• Invested in low-income housing tax credit projects, boosting affordable rental supply.

Why Fannie Mae Stands Out

Fannie Mae is a central player in U.S. housing finance, supporting about a quarter of all home and rental loans. Its government-backed model and risk-sharing programs help keep mortgage markets stable. The company’s scale and regulatory oversight make it a key link between lenders and investors.

Five Things You Need to Know

• Net revenues were $29.1 billion in 2024, flat from 2023.
• Net income was $17.0 billion in 2024, down slightly from $17.4 billion in 2023.
• Single-family loans contributed $14.4 billion out of Fannie Mae’s $17.0 billion net income in 2024.
• Fannie Mae had a $37 billion capital deficit as of December 2024.
• Serious delinquency rates rose slightly for both home and rental loans in 2024.

Bottom Line

Fannie Mae has evolved into a vital, regulated source of mortgage funding in the U.S. Its risk-sharing and affordable housing focus help balance market stability with public policy goals.