Federal Housing Finance Agency Announces First-Ever Tenant Protection Requirements
(July 23, 2024) On July 12th, the Federal Housing Finance Agency (FHFA) announced the first-ever tenant protections required for all multifamily properties financed by the federal enterprises known as Fannie Mae and Freddie Mac. The new policy will be effective for loan applications submitted after Feb. 28, 2025 and will require three protections to be put into place at covered properties: a 30-day notice of rent increases, a 30-day notice of lease expiration (scheduled or terminated), and a minimum 5-day grace period for late rent payments.
While the announcement marks a new era of centering tenant protections in federally backed mortgages, critics have said that the new requirements are minimal and have called on the agency to strengthen protections. LeadingAge supports the tenant protections as a first and overdue step to addressing housing instability.
The FHFA stated that the agency will continue its public stakeholder engagement process to build on the policies described above in a way that reflects the needs of both tenants and housing providers.
Contact: Annalyse Komoroske Denio, akomoroskedenio@leadingageny.org, 518-867-8866