The House Appropriations Committee’s Subcommittee on Financial Services and General Government (FSGG) on June 30 passed language from the Preserving Access to Manufactured Housing Act as a part of its Fiscal Year 2018 Financial Services Appropriations bill.
Last month, the Federal Housing Finance Agency (FHFA) issued a final request for input on Fannie Mae and Freddie Mac’s associated proposal on Underserved Markets Plans within the “Duty to Serve” program.
FHFA, the regulator of Fannie and Freddie tasked with enforcing the “Duty to Serve” provision, issued a final implementation rule on Dec. 13, 2016 mandated by the Housing and Economic Recovery Act of 2008. The statute requires the Enterprises to serve three specified underserved markets – manufactured housing, affordable housing preservation and rural housing in a safe and sound manner for residential properties that serve very low-, low- and moderate-income families.
The rule requires each Enterprise to adopt a three-year Underserved Markets Plan to fulfill this mandate. FHFA requests public input on the proposed plans through its dedicated web page by July 10, 2017.
It is anticipated that implementation of “Duty to Serve” provisions will create more financing options for potential home buyers, which also would be a benefit for the housing sector, including the manufactured housing industry.
“I strongly encourage stakeholders to submit feedback on Fannie Mae and Freddie Mac’s proposed ‘Duty to Serve Underserved Markets Plans,'” said FHFA Director Melvin L. Watt. “FHFA will evaluate stakeholder input as part of our review process to ensure that the plans help the Enterprises meet their statutory obligations in a safe and sound manner.”
Each Enterprise will update their “Duty to Serve Underserved Markets Plan” after reviewing public input and FHFA feedback. Each Enterprise’s Duty to Serve Underserved Markets Plan must receive a non-objection from FHFA before becoming effective Jan. 1, 2018.
The objectives in the proposed and final plans may be subject to change based on factors including public input, FHFA comments, compliance with the Enterprises’ Charter Acts, safety and soundness considerations, and market or economic conditions.