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FHFA Rescinds Multifamily Lease Policies

March 26, 2025

Newly appointed Federal Housing Finance Agency (FHFA) Director William Pulte published orders on social media platform X on March 24, rescinding a 2024 FHFA directive entitled “Aligned Policies on Multifamily Rental Payment Flexibility and Lease Notices.”

Why it matters: The order eliminates a Biden-era policy requiring that GSE multifamily loan documents mandate various notices and grace periods for tenants. 

• The July 2024 press release noted that this is “the first time that tenant protections will be a standard component of Enterprise multifamily financing.”
• Effective February 28, 2025, covered housing providers would have been required to provide tenants with the following:
  • 30-day written notice of a rent increase;
  • 30-day written notice of a lease expiration; and
  • 5-day grace period for rent payments.

Yesterday, Pulte also ordered the rescission of an advisory bulletin requiring the GSEs to develop a “climate-related risk management framework into its existing enterprise risk management program.”

As covered in CREFC’s most recent Policy and Capital Markets Briefing, last week Pulte revamped the boards of both Fannie Mae and Freddie Mac and is now chair of each board. Freddie Mac CEO Diana Reid was let go and FHFA Chief Operating Officer Gina Cross and Human Resources Director Monica Matthews were placed on leave.

Please contact Sairah Burki (sburki@crefc.org) with any questions.

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Proposed Georgia Bill Caps Institutional Housing Ownership

March 25, 2025

The Georgians First Residential Property Protection Act (HB 555), a bill in the Georgia state legislature, would limit business enterprises from owning more than 2,000 single-family homes or 10 multifamily properties in the state. 

Why it matters: The measure, sponsored by four Republicans and one Democrat, demonstrates increasingly bipartisan political concern over single-family rentals (SFR), but the limitation on multifamily property ownership signals a new pushback on institutional ownership of housing.

• In a committee hearing on March 3, the bill sponsor testified in support of a revised bill expressing concern about increased corporate ownership of SFRs in Georgia. The sponsor cited data that indicated no institution owned more than 1,000 single-family homes prior to 2011.
• Enforcement would be through a private right of action rather than state enforcement against businesses that own more than 2,000 homes. 
• The bill was reported favorably out of the Georgia House Judiciary Committee with only one legislator voting in opposition. The full state House has not yet acted on the bill. 

The big picture: Georgia legislative observers indicate the bill likely will not advance further this session. 

• However, the near-unanimous committee approval with 12 Republicans and five Democrats on the committee indicates the growing local concern on the issue.
• On the federal level, legislation targeting institutional ownership has been limited to Democrats, but moderates have been joining with progressives in supporting the legislation.

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FinCEN Limits Corporate Transparency Act Scope

March 25, 2025

Treasury’s Financial Crimes Enforcement Network (FinCEN) published an interim final rule exempting U.S. companies and U.S. persons from the beneficial ownership information (BOI) reporting requirements of the Corporate Transparency Act (CTA). Secretary Scott Bessent had previewed the change earlier this month. 

Why it matters: As we previously covered, the CTA has faced regulatory delays and numerous court challenges, particularly from small businesses.

What they're saying: In a press release announcing the rule change, Treasury described the changes as follows:

• Revises the definition of a “reporting company” in its implementing regulations to mean only those entities that are formed under the law of a foreign country and have registered to do business in any U.S. state or Tribal jurisdiction by filing a document with a secretary of state or similar office (formerly known as “foreign reporting companies”).
• Exempts entities previously defined as “domestic reporting companies” from the BOI reporting requirements.
• Clarifies that foreign entities will not be required to report any U.S. persons as beneficial owners.
• Also, U.S. persons will not be required to report BOI with respect to any such entity for which they are a beneficial owner.

Contact David McCarthy (dmccarthy@crefc.org) with any questions.

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