FHFA head: 'It is up to the President what to do, if anything'
An independent public offering for the government-sponsored enterprises (GSEs) Fannie Mae and Freddie Mac could happen in early 2026, according to a social media post by the director of Federal Housing.
Responding to an X post quoting a Mortgage Professional America report about the potential timing of a Fannie-Freddie IPO, Bill Pulte announced Thursday that an offering early next year was possible, but that it would hinge on President Trump's decision.
“I said as early as late 2025 but could be Q1 or Q2 2026,” Pulte said on X. “We shall see! It is up to the President what to do, if ANYTHING!”
The earlier X post by Cmdr Ron Luhmann cited MPA reporting asking if an IPO was possible by year’s end.
“President Trump made the right decision not to take Freddie and Fannie public during his first term and is opportunistically evaluating an offering this time around, which could be as early as the end of 2025,” Pulte said earlier this week.
This weekend, Pulte is scheduled to speak at the Association of Independent Mortgage Experts (AIME) Fuse event in Nashville.
Trade organizations watching closely
The entire mortgage industry is watching closely to see what, if anything, will happen with Fannie and Freddie.
Bob Broeksmit, president and CEO of the Mortgage Bankers Association (MBA), told the assembled brokers at the organization’s annual event in Las Vegas this week that they will be in Washington to give their input.
“The Trump administration is weighing the future of the GSEs and MBA is intimately involved in the discussion,” Broeksmit said. “We’ve already had multiple meetings with the FHFA and the Treasury. We don’t just have a seat at the table, we’re near the head of the table. We’re speaking loud and clear.”
I said as early as late 2025 but could be Q1 or Q2 2026. We shall see! It is up to the President what to do, if ANYTHING! 🏠 https://t.co/JX0N7Gxqcr
— Pulte (@pulte) October 23, 2025
He emphasized that any changes must be made in a measured fashion to avoid turmoil in the mortgage market.
“Our impact is evident in the tone that senior officials are now taking,” he said. “They’ve said that any reform will be, and I quote, ‘Informed, careful, and calibrated.’ They’ve also made clear that mortgage credit won’t get more expensive and that they’re pushing hard to bring costs home.
“These are goals we fully share, and rest assured, the MBA won’t rest until GSE release is done right.”
Ending a timeout
Mike Fratantoni, chief economist and senior vice president of research and business development at the MBA, told Mortgage Professional America in August that the organization supports moving the GSEs out of conservatorship. However, he echoed Broeksmit’s comments that it must be done carefully.
“MBA has been supportive of moving the enterprises out of conservatorship, because I think what our members have seen is Fannie and Freddie over time, becoming less responsive to market needs, not having that sensitivity of a private company,” Fratantoni said. “Pre-2008, they were acting like the private sector in terms of speed, responsiveness and ability to work with customers and meet their needs.
“That will be the benefit of moving them out of conservatorship. Perhaps this proposed IPO is moving in that direction. So that's the positive. But the risk is that could all be overwhelmed if there's a disruption in the secondary market that would lead to either more volatility in rates or a higher level of rates.”
He stated that the process could start relatively quickly if the Trump administration decides to move forward. Fratantoni said he expects they will take their time to unwind things properly and that it will likely involve expertise from several government departments.
“They're likely going to tap into expertise across the government,” Fratantoni said. “At the Treasury and FHFA, at the Fed, some of the other financial regulatory agencies, and the SEC, because it really touches on all those spots. The quickest way for them to make changes is to revise the preferred stock purchase agreements. Those are agreements between the Treasury and FHFA and the GSEs.
“Rewriting or revising those contracts could happen fairly quickly. But given the dollars involved and the potential economic impact, I expect they will take the time to do it the right way.”
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