FHFA Proposes to Repeal Fair Lending Rule
Industry Update
July 28, 2025
Source: ABA Banking Journal
The Federal Housing Finance Agency is proposing to repeal a 2024 final rule that codified many of its existing practices and programs regarding fair housing and fair lending oversight of its regulated entities: Fannie Mae, Freddie Mac and the Federal Home Loan Banks.
In a notice published today in the Federal Register, FHFA said it was seeking public comment on repealing the Fair Lending, Fair Housing, and Equitable Housing Finance Plans regulation. The agency cited President Trump’s executive order in February directing federal agencies to repeal “unnecessary” regulations as a reason for walking back the final rule.
Among other things, the 2024 rule made changes to Fannie’s and Freddie’s Equitable Housing Finance Plans to promote greater accountability; added oversight of unfair or deceptive acts or practices to FHFA’s fair housing and fair lending oversight programs; required additional certification of compliance by all the entities; and established more precise standards related to fair housing, fair lending and equitable housing principles for the entities’ boards. The rule also created a new requirement for FHLBs to annually report on any actions they voluntarily take to address barriers to sustainable housing opportunities for underserved communities.
Comments on the proposed repeal must be submitted to FHFA by Sept. 26.
For full report, please click the source link above.