The Federal Housing Finance Agency (FHFA) announced the 2026 multifamily loan purchase caps for Fannie Mae and Freddie Mac, raising each Enterprise’s limit to $88 billion, for a combined $176 billion in available liquidity for the multifamily market. The increased capacity from last year’s $73B each reflects the Agency’s effort to align GSE support with current market conditions while ensuring continued focus on affordability.
The 2026 caps build on the policy framework established in 2025 and are intended to support both market stability and countercyclical lending at a time when borrowers continue to face capital markets uncertainty and elevated refinancing needs.
Consistent with prior years, there is a focus on Mission-Driven and Workforce Housing which will require that at least 50 percent of the Enterprises’ multifamily business volume meet the mission-driven, affordable housing standard. This requirement ensures that the GSEs continue directing meaningful capital toward segments that face the greatest affordability pressures.
Workforce housing loans will again be excluded from the 2026 volume caps, preserving an important channel for financing properties that maintain attainable rents for middle-income households. All other mission-driven executions will remain subject to the published limits.
The FHFA emphasized it will continue to closely track multifamily market dynamics throughout 2026. The Agency may increase the caps if market activity exceeds initial expectations, ensuring continued liquidity under shifting economic conditions.
Importantly, the Agency noted that caps will not be reduced should the projected size of the 2026 multifamily market ultimately trend smaller. This policy is designed to prevent market disruption and preserve borrower confidence in the GSEs as stable liquidity providers.
“The higher 2026 caps underscore the critical role the Enterprises play in supporting liquidity for multifamily owners and operators,” said Richard Martinez, Co-Head of Agency Lending Production at Greystone. “With continued emphasis on affordable and workforce housing, borrowers will have greater certainty as they plan for acquisitions, refinancing, and recapitalizations in a still-evolving rate environment. We look forward to guiding clients through the opportunities created by the expanded GSE capacity.”
For borrowers, the 2026 caps provide enhanced visibility into the GSEs’ ability to meet refinancing waves, fund value-add repositioning, and serve markets where affordability pressures remain.