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FHFA Announces Final Rule to Serve Underserved Markets Regulation

The Federal Housing Finance Agency (FHFA) today published a final rule to amend the Enterprise Duty to Serve Underserved Markets regulation. The final rule allows Fannie Mae and Freddie Mac’s (together, the Enterprises) activities in all colonia census tracts to be eligible for Duty to Serve credit.

“The implementation of this rule strengthens our commitment to promoting affordable, equitable, and sustainable housing in underserved and rural communities,” said FHFA Director Sandra L. Thompson. “FHFA will continue to ensure that Enterprise Duty to Serve activities meet the needs of people living in colonias.”

The final rule:

  • Adds a new definition for “colonia census tract” to mean a census tract containing a colonia, which will serve as a census tract-based proxy for a colonia;
  • Amends the definition of “high-needs rural region” by substituting “colonia census tract” for “colonia;” and
  • ​Amends the definition of “rural area” to include all colonia census tracts, regardless of their location.

​FHFA published a notice of proposed rulemaking in September 2022 with a 60-day public comment period.

The final rule will go into effect on July 1, 2023.

To read the full release, click here.

About Author: Demetria Lester

Demetria C. Lester is a reporter for DS News and MReport magazines with more than eight years of writing experience. She has served as content coordinator and copy editor for the Los Angeles Daily News and the Orange County Register, in addition to 11 other Southern California publications. A former editor-in-chief at Northlake College and staff writer at her alma mater, the University of Texas at Arlington, she has covered events such as the Byron Nelson and Pac-12 Conferences, progressing into her freelance work with the Dallas Wings and D Magazine. Currently located in Dallas, Texas, Lester is an avid jazz lover and likes to read. She can be reached at [email protected].

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