Trump: Seriously considering listing Fannie Mae and Freddie Mac, decision soon.

Trump: Seriously considering listing Fannie Mae and Freddie Mac, decision soon.

President Donald Trump is reportedly considering listing Fannie Mae and Freddie Mac, the government-sponsored mortgage giants, with a decision expected soon. This move comes amidst ongoing scrutiny of the entities' operations and the impact of recent regulatory changes on the housing market.

Shares of Fannie Mae (OTCQB:FNMA) surged 7.3% and Freddie Mac (OTCQB:FMCC) climbed 5.6% after the head of the Federal Housing Finance Agency (FHFA), William J. Pulte, stated that he found "a couple hundred million dollars" of savings at the GSEs [1]. Pulte, who oversees Fannie, Freddie, the Federal Home Loan Bank system, and the Federal Farm Credit system, expressed optimism about the potential earning power of these entities.

The Trump administration's cuts to Fannie Mae and Freddie Mac may be putting a damper on the housing market, according to a report from Bloomberg Intelligence. Credit availability for Fannie and Freddie mortgages has reached a record low this year, with the Trump administration's changes leading to fewer product offerings, staffing cuts, and tighter lending standards [2].

The housing market has been facing challenges due to rising home prices, which have made it harder for poorer and middle-class borrowers to qualify for Fannie or Freddie mortgages. In response, the GSEs rolled out new affordability programs, such as the HomeReady and HomePossible programs, to expand access for these borrowers. However, these programs are now in the crosshairs of the Trump administration and Bill Pulte, who ordered Fannie and Freddie to halt programs designed to support first-time homebuyers [2].

The potential listing of Fannie Mae and Freddie Mac could have significant implications for the housing market. If the entities are listed, they would no longer be government-sponsored, which could lead to changes in their operations, lending standards, and overall impact on the housing market.

Investors and financial professionals should closely monitor the situation as Trump's decision could have far-reaching consequences for the housing market and the broader economy. The Trump administration's policies and regulatory changes have already had a significant impact on the housing market, and any further changes could exacerbate the challenges facing the sector.

References:
[1] https://seekingalpha.com/news/4450558-fannie-mae-freddie-mac-stocks-jump-after-cost-cut-report
[2] https://www.sgvtribune.com/2025/05/16/trumps-cuts-at-fannie-mae-and-freddie-mac-may-slow-housing-recovery-report-says/amp/