Fannie Mae Scales Multifamily Lending to $74B in 2025 to Support Affordability
- Fannie Mae provided about $74B multifamily financing in 2025, a 34% increase from $55B in 2024.
- About 40% of Fannie Mae multifamily deals used delegated underwriting, speeding closings and supporting affordability.
- Fannie Mae enters 2026 with an $88B capital allocation for multifamily activity.
Fannie Mae scales up multifamily lending to tackle affordability, preservation
Fannie Mae says it provides roughly $74 billion in financing to the U.S. multifamily housing market in 2025, a 34% increase from $55 billion in 2024 and its largest annual multifamily volume since 2020. The company frames the surge as support for borrowers, investors and renters through its Delegated Underwriting and Servicing (DUS®) lender network, which it says accelerates execution in shifting market conditions and enables the creation and preservation of workforce and affordable housing nationwide.
The bulk of the 2025 volume flows to targeted segments that Fannie Mae highlights as critical to affordability and supply. The firm reports more than $8.3 billion in Multifamily Affordable Housing financing (up 31% year‑over‑year), $7.1 billion in Structured Transactions (up 8.6%), $5.9 billion in Small Loans (up 26%) and $1.9 billion in Manufactured Housing (up 49.4%). About 40% of the deals are executed under delegated underwriting, a model the company credits with allowing lenders to compete and close deals more quickly in varied markets.
Kelly Follain, executive vice president and head of Multifamily, says the production helps Fannie Mae’s multifamily book exceed $500 billion and unlocks opportunities to create and preserve thousands of housing units. The company underscores a continued focus on responsible lending products and solutions to address tight rental markets and persistent affordability pressures across urban, suburban and rural communities.
SARM modifications aim to widen variable‑rate options
Fannie Mae emphasizes enhancements to its Multifamily Structured Adjustable‑Rate Mortgage (SARM) to meet demand for flexible variable‑rate executions while delivering fixed‑rate equivalent financing. The changes are presented as part of a broader push to offer more tools for borrowers and lenders managing interest‑rate volatility and underwriting complexity.
Capital allocation and forward guidance
Fannie Mae says it enters 2026 with an $88 billion capital allocation for multifamily activity and intends to build on 2025 momentum through continued product innovation. The company frames these actions as supporting long‑term housing market stability and the development of sustainable communities through increased affordability, preservation and new workforce housing supply.
