Fitch: No existing financial entity can replace Fannie, Freddie multifamily

Since the fourth quarter of 2007, Fannie Mae and Freddie Mac increased their exposure in the multifamily market by $76 billion, compared with an $80 billion decrease by all other lenders, a net of more than $150 billion, according to Fitch Ratings report on U.S. Equity REITs: The Key Issues for Multifamily. The aim of such research is to prepare for a world post-GSE reform. And if such a world were to happen tomorrow, the mortgage finance market would be woefully under-prepared. Both government-sponsored enterprises are now the largest multifamily lender by 17 percentage basis points, compared with a three percentage basis point lead as of 4Q07.

–  HousingWire

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