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2024 SCORECARD FOR FANNIE MAE, 

FREDDIE MAC, AND COMMON 

SECURITIZATION SOLUTIONS 

January 2024
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2024 Scorecard

2024 SCORECARD FOR FANNIE MAE, FREDDIE MAC, AND 

COMMON SECURITIZATION SOLUTIONS 

For all Scorecard items, Fannie Mae and Freddie Mac (the Enterprises) and Common 

Securitization Solutions, LLC (CSS) will be assessed based on the following criteria1

: 

Assessment Criteria 

• Each entity’s products and programs foster liquid, competitive, efficient, and resilient 

housing finance markets that support affordable, sustainable, and equitable access to 

homeownership and rental housing. 

• Each entity conducts business in a safe and sound manner. 

• Each entity meets expectations under all FHFA requirements, including those pertaining 

to capital, liquidity, and credit risk transfer. 

• Each entity continues to manage operations while in conservatorship in a manner that 

preserves and conserves assets through the prudent stewardship of resources. 

• Each entity cooperates and collaborates with FHFA to meet the Conservator’s priorities

and guidance throughout the course of the year in alignment with FHFA’s FAIR values 

(Fairness, Accountability, Integrity, and Respect). 

• Each entity delivers work products that are high quality, thorough, creative, effective, and 

timely, and that consider effects on homeowners, multifamily property owners, renters, 

the Enterprises, the industry, and other stakeholders. 

• Each entity ensures that diversity, equity, and inclusion remain top priorities in strategic 

planning, operations, and business development. 

1 The Enterprises will be assessed on all the criteria. CSS will be assessed on the criteria applicable to its operations. 
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2024 Scorecard

Promote Equitable Access to Affordable and Sustainable Housing (50%) 

Conduct business and undertake initiatives that support affordable, sustainable, and equitable 

access to homeownership and rental housing, and fulfill all statutory mandates. 

Take significant actions to ensure that all borrowers and renters have equitable access to

sustainable long-term affordable housing opportunities, including efforts that further 

energy efficiency, resiliency, and cost savings in the mortgage process, considering the 

impact on all geographies, including rural areas as defined under Duty to Serve. Develop 

and implement strategies to support and advance the following:

• Sustainable and affordable homeownership 

o Explore the evolving single-family property insurance market, identifying 

opportunities to mitigate risk while furthering sustainable homeownership.

o Continue efforts to expand energy efficiency and resiliency that improve longterm sustainable homeownership. 

o Explore opportunities to further sustainable homeownership through measures 

that support first-time and mission-oriented homebuyers, and positively

influence affordability, including transaction costs, in a manner that maintains 

safety and soundness. 

• Multifamily rental housing 

o Enhance resident-centered practices, such as tenant protections, at Enterprisebacked multifamily properties.

o Strengthen multifamily asset management capabilities, including identifying 

and managing legal risk appropriately. 

o Explore and identify innovative ways to address multifamily market needs.

o Manage new multifamily purchases to remain within the multifamily cap 

requirements, including an expanded focus on workforce/moderate-income 

housing. 

• Equitable access to housing 

o Take meaningful actions to achieve the goals and objectives of the Equitable 

Housing Finance Plans. 

o Continue efforts to minimize single-family appraisal bias and improve 

valuation equity, including by supporting FHFA’s implementation of the 

Property and Valuation Equity (PAVE) action plan. 
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2024 Scorecard

• Efficiency in the mortgage market 

o Continue modernization of single-family property valuation processes and 

practices, including traditional appraisals and valuation alternatives. 

o Leverage data, technology, and other innovations to promote efficiency and 

cost savings in mortgage processes. 

o Plan for implementation of the approved credit score models, informed by 

stakeholder outreach.

• Climate risks 

o Identify and pursue measures to enhance consumer awareness of climate risks 

in housing. 

o Continue research to monitor climate-related market developments; identify 

at-risk borrowers, properties, and communities; inform policy; and improve 

climate-resiliency and energy efficiency efforts. 
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2024 Scorecard

Operate the Business in a Safe and Sound Manner (50%) 

Operate with heightened focus on safety and soundness and with a prudent risk profile 

consistent with continued support for housing finance markets throughout the economic cycle, 

while minimizing the risk of requiring a draw against the Treasury commitment. 

Ensure that the Enterprise is resilient to operational, market, credit, counterparty, 

economic, legal/litigation, and climate risks. 

• Maintain effective risk management systems appropriate for entities that need to 

minimize risk to capital as they rebuild their capital buffers. 

• Take appropriate action to address risk exposure and enhance Enterprise counterparty 

risk controls.

• Strengthen risk management capabilities in identifying, assessing, controlling, 

monitoring, and reporting on climate risk and incorporating these capabilities into the 

overall Enterprise risk framework. 

• Maintain ability to respond to operational events without significant disruption to the 

primary or secondary mortgage market.

• Maintain liquidity at levels required by FHFA and sufficient to sustain Enterprise 

operations through severe stress events.

• Explore opportunities to harmonize the Enterprises’ processes supporting the SingleFamily Selling Representations and Warranties Framework, including defect 

identification, remedies, and repurchase alternatives. 

Transfer a meaningful amount of credit risk to private investors in a commercially 

reasonable and safe and sound manner, reducing risk to taxpayers. 

Ensure CSS operates in a safe and sound manner in support of Enterprise securitization 

activities. 
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2024 Scorecard

Appendix A: Multifamily Definitions

1. Volume caps and review of market size

The 2024 Scorecard establishes a $70 billion cap on the multifamily purchase volume of 

each Enterprise, for a total of $140 billion and applicable for calendar year 2024. Within this 

cap, certain loans in affordable and underserved market segments are considered “missiondriven.” The 2024 Scorecard requires that a minimum of 50 percent of Enterprise 

multifamily loan purchases be mission-driven in accordance with the definitions herein. 

FHFA anticipates the $70 billion cap to be appropriate given current market forecasts. 

However, FHFA will continue to review its estimates of market size and mission-driven 

minimum requirements throughout the year. To prevent market disruption, if FHFA 

determines that the actual size of the 2024 market is smaller than was initially projected, 

FHFA will not reduce the caps.

The following sections explain how FHFA will treat mission-driven loans for purposes of the 

2024 Scorecard. 

2. Loans on targeted affordable housing properties 

Targeted affordable housing loans are loans on properties encumbered by a regulatory 

agreement or a recorded use restriction under which all or a portion of the units are restricted 

for occupancy by tenants with limited incomes and which restrict the rents that can be 

charged for those units. FHFA will classify as mission-driven a proportionate amount of the 

loan for properties in the targeted affordable category, depending on the percentage of units 

that are restricted by a regulatory agreement or recorded use restriction. FHFA will classify 

as mission-driven 50 percent of the loan amount if the percentage of restricted units is less 

than 50 percent of the total units in a project, and 100 percent of the loan amount if the 

percentage of restricted units is equal to or more than 50 percent.

The following are examples of loans on targeted affordable housing properties that FHFA 

will classify as mission-driven:
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2024 Scorecard

• Loans on properties subsidized by the Low-Income Housing Tax Credit (LIHTC) 

program, which limits tenant incomes at levels required by LIHTC program rules;

• Loans on properties developed under state or local inclusionary zoning, real estate tax 

abatement, loan or similar programs, where the property owner has agreed to: (a) restrict 

a portion of the units for occupancy by tenants with limited incomes in accordance with 

the requirements of the state or local program and restrict the rents that can be charged 

for those units at rents affordable to those tenants; and (b) enforce these restrictions 

through a regulatory agreement or recorded use restriction; 

• Loans on properties covered by a Section 8 Housing Assistance Payment contract where 

the contract limits tenant incomes to 80 percent of area median income (AMI) or below. 

FHFA will not consider a unit that is occupied by a Section 8 certificate or voucher 

holder as a targeted affordable housing unit unless there is also a contract, a regulatory 

agreement, or a recorded use restriction; and 

• Loans on properties where a Public Housing Authority (PHA), or a nonprofit 

development affiliate of a PHA, is the borrower and where the regulatory agreement or 

recorded use restriction restricts all or a portion of the units for occupancy by tenants 

with limited incomes and/or restricts the rents that can be charged for those units. 

On a case-by-case basis, FHFA will consider Enterprise requests to classify other loans as 

mission-driven that meet affordable housing and mission goals but do not meet the exact 

definition of targeted affordable housing. Requests may be submitted for consideration only 

after meeting with FHFA to discuss the request. 

3. Loans to preserve affordability at workforce housing properties 

Loans to preserve affordability at workforce housing properties may be exempt from the caps 

and classified as mission-driven if the property has units that are subject to either rent or 

income restrictions codified in loan agreements. FHFA will exempt from the volume cap the 

full loan amount of all loans where the loan agreements require a sponsor to preserve 

affordability at the “other affordable” market levels outlined below or that adhere to the 

standard of a state or local housing affordability initiative, for at least 10 years or the term of 

the loan. FHFA will classify as mission-driven 50 percent of the loan amount if the 

percentage of restricted units is less than 20 percent of the total units in a project, and 100 

percent of the loan amount if the percentage of restricted units is equal to or more than 20 

percent.
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2024 Scorecard

4. Loans on other affordable units 

FHFA will classify as mission-driven units whose rents are affordable to tenants at various 

income thresholds but that are not subject to a regulatory agreement or recorded use 

restriction, for conventional, small multifamily (5-50 unit), and seniors housing. FHFA will 

count as mission-driven, the pro rata portion of the loan amount based on the percentage of 

units with affordable, unsubsidized/market rents, as described below. 

a. Loans on affordable units in standard markets 

Standard markets are those that are not located in designated cost-burdened or very 

cost-burdened renter markets. For properties located in these markets, the income 

threshold for affordability is 80 percent of AMI or below. 

b. Loans on affordable units in cost-burdened or very cost-burdened renter markets 

In cost-burdened renter markets as designated by FHFA, the income threshold for 

affordability is 100 percent of AMI or below. In very cost-burdened renter markets as 

designated by FHFA, the income threshold for affordability is 120 percent of AMI or 

below. 

5. Loans on properties located in rural areas 

ions 

Rural areas are those areas designated as such in the Duty to Serve regulation. FHFA will 

classify as mission-driven, the pro rata portion of the loan amount based on the percentage 

of units affordable at 100 percent of AMI or below.

6. Manufactured housing community blanket loans 

Loans to manufactured housing communities are blanket loans secured by the land and the 

rental pads. FHFA will classify as mission-driven the share of the loan amount of a 

manufactured housing community blanket loan that reflects the share that receives credit 

under the Duty to Serve regulation. 
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2024 Scorecard

FHFA strongly encourages the adoption of tenant pad lease protections that meet or exceed 

those listed in the Duty to Serve regulation in all manufactured housing communities. 

7. Loans to finance energy or water efficiency improvements

Loans to finance energy or water efficiency improvements are loans funded by the 

Enterprises under their own specialized financing programs for this purpose. For loans under 

the Fannie Mae Green Rewards and Freddie Mac Green Up and Green Up Plus loan 

programs, 50 percent of the loan amount will be classified as mission-driven if at least 20 

percent but less than 50 percent of the unit rents are affordable at or below 80 percent of 

AMI, and 100 percent of the loan amount if the percentage of affordable units is equal to or 

more than 50 percent. 

The renovations under the program (including subsequent program enhancements, as 

approved by FHFA) must project a minimum 15 percent reduction in annual whole property 

energy consumption and a minimum 15 percent reduction in annual whole property water 

and/or energy consumption. (Thus, a property projecting 30 percent energy consumption 

reduction would qualify for mission-driven credit, as would a property projecting 15 percent 

energy and 15 percent water consumption reduction, or 20 percent energy and 10 percent 

water consumption reduction.) 

In addition, prior to Enterprise purchase, all Fannie Mae Green Rewards and Freddie Mac 

Green Up and Green Up Plus transactions must have a third-party data collection firm 

engaged for ongoing data collection for the life of the loan, to receive mission-driven credit. 

This third-party firm can be funded by the borrower, the lender, or the Enterprise. FHFA will 

require specific data elements on all transactions where energy or water efficiency 

improvements are made for both Enterprises to determine the effectiveness of the programs 

in achieving policy outcomes, on an annual basis. 

For loans funded under the Fannie Mae Green Building Certification program or the Freddie 

Mac Green Certified program, FHFA will classify as mission-driven 50 percent of the loan 

amount if at least 20 percent but less than 50 percent of the unit rents are affordable at or 

below 80 percent of AMI, and classify 100 percent of the loan amount if the percentage of 

affordable units is equal to or more than 50 percent. 

8. Other Scorecard requirements 

For purposes of reporting on loan and commitment activity under the 2024 caps, the 

Enterprises must: (a) use the definitions for determining unit affordability of seniors housing 

assisted living units, co-op units, and shared living arrangements, including student housing, 
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2024 Scorecard

that are included in the housing goals regulation at 12 CFR 1282.1; (b) use affordability data 

as of the loan acquisition date; (c) report monthly to FHFA on their acquisition and 

commitment volumes using a reporting format defined by FHFA; and (d) report quarterly on 

their acquisition volumes under the caps including detail on mission-driven loan purchases 

using a reporting format to be determined by FHFA.