Pulte says Fannie and Freddie remain in receivership with IPO plans
Lambert quoted Pulte as saying: “I expect the president will make a decision this quarter or early next year when it comes to the IPO.”
The future of Fannie and Freddie has been a hot topic during President Trump’s second term, as the two government-sponsored enterprises spend their 17th year in receivership following the Great Financial Crisis. It’s complicated to release them from that conservatorship because they’re now on a backstop about 70% of all mortgage loans in the US, providing liquidity and stability to the market.
Privatizing Fannie and Freddie would take years, experts for example, because this will have to address the shortfall in regulatory capital requirements, the status of the senior preference shares of the Ministry of Finance and the current implicit guarantee. Selling some shares while they are in receivership would be an easier option.
In May, Trump said he was “seriously considering taking Fannie Mae and Freddie Mac public” and would make a decision in the “near future.” A week later, he clarified that any change would keep the implied warranty intact.
In July, Trump met with CEOs from some of the country’s largest banks, including JP Morgan Chase CEO Jamie Dimon, Goldman Sachs Group CEO David Solomon, and Bank of America CEO Brian Moynihan, for one-on-one pitch meetings to discuss the future of the GSEs.
In August, the Trump administration said it was planning an initial public offering for Fannie and Freddie later this year and believed it could raise about $30 billion from the initial stock offering. A few days later, Trump posted an AI image of him on the New York Stock Exchange with the words: MAGA LISTED NYSE and The Great American Mortgage Corporation, with the date November 2025. The image fueled speculation about FHFA’s merger of Fannie and Freddie, but the idea has received significant industry pushback.
