Freddie Mac’s SFR Pilot Aimed at Affordable Housing
December 15, 2017
Freddie Mac decided to dip its toes into the single- family rental market with a $161 million transaction with CoreVest Finance. The securities are backed by affordable single-family rental properties targeting low-income and working families. The SR01 certificates include 59 loans originated primarily by CoreVest. Freddie has been exploring the growing SFR market for the better part of the year. While Fannie Mae received some backlash for its one large $1 billion transaction earlier this year with Invitation Homes, Freddie’s focus was on the affordable housing market. Most of the 2,355 properties included in this transaction (94 percent) are affordable to families earning less than 100 percent of the area median income.