President-elect Donald Trump has announced his intention to appoint Bill Pulte as the next director of the Federal Housing Finance Agency (FHFA). This decision comes after current FHFA head Sandra Thompson revealed her plans to retire on January 19, one day before Trump’s inauguration.
According to Reuters, the Trump administration is focused on ending the long-standing conservatorship of Fannie Mae and Freddie Mac. These two mortgage giants have been under government control since 2008 and steps have already been taken in his first term towards moving them away from this oversight.
In response to this news, Bob Broeksmit, president and CEO of Mortgage Bankers Association stated that they are looking forward to working with Pulte and FHFA staff on policies that will increase housing supply while also providing affordable options for homebuyers and renters. He emphasized the importance of protecting taxpayers while maintaining a strong secondary mortgage market for both single-family and multifamily lenders.
Broeksmit continued by acknowledging that Fannie Mae’s conservatorship was never meant to be permanent. The MBA is ready collaborate with both Congress and the administration in order ensure a smooth transition into a post-conservatorship era for these entities. This includes securing congressional approval for an explicit federal backstop which would prevent any major disruptions in their mortgage-backed securities market.
Pulte currently serves as CEO at private equity firm Pulte Capital Partners which was founded by his grandfather William Pulte who also started homebuilder company Pu
