This bill would allow the Federal Home Loan Mortgage Corporation (Freddie Mac) and the Federal National Mortgage Association (Fannie Mae) to purchase and securitize certain residential construction loans. In practical terms, it would give builders, lenders, and homebuyers a broader financing channel for loans used to build new homes. The goal is to make it easier for lenders to move construction loans into the secondary mortgage market, which can increase the supply of credit for housing development. The measure is aimed at the housing-finance system rather than at direct grants or subsidies to individual borrowers.
What This Bill Does
- Would let Fannie Mae and Freddie Mac purchase certain residential construction loans.
- Would also allow those loans to be securitized in the secondary mortgage market.
- Applies to loans tied to homes that are still being built, not just completed mortgages.
- Could expand financing options for builders and lenders.
- Could increase housing supply if construction credit becomes easier to obtain.
Who This Bill Affects
If you are a homebuilder, residential lender, or someone trying to buy a newly built home, this bill could make construction financing easier to obtain and potentially support more housing supply. If the policy works as intended, it may indirectly help buyers by improving the flow of credit into new-home construction, but any benefits would be felt through the housing market rather than as a direct payment or eligibility change. For the general public, the effects would be broader than a single local project but still concentrated in the housing-finance sector.
See how this bill affects you — sign in for a personalized analysisWho Supports & Opposes This
- Homebuilders They would likely argue that broader access to secondary-market financing will make it easier to fund new projects, especially when banks are cautious about holding construction risk. More financing capacity could support more housing starts and help address shortages.
- Community banks and mortgage lenders They may see a liquid outlet for construction loans as a way to reduce balance-sheet strain and free up capital for additional lending. That can be especially useful for smaller lenders that do not want to carry long-dated construction risk on their own books.
- Homebuyers in high-cost markets Supporters would say that improving financing for new construction can eventually increase the number of homes available for sale. More supply can ease competition and reduce pressure on prices in markets with limited inventory.
- Taxpayers concerned about housing-finance risk They may argue that expanding Fannie Mae and Freddie Mac's footprint into construction loans could widen federal exposure to riskier parts of the housing market. If underwriting is weak or projects stall, losses could ultimately be borne more broadly.
- Fiscal conservatives They would likely object to enlarging the role of government-sponsored enterprises in a market that already involves significant federal backing. In their view, the bill could encourage more federal intervention instead of private-sector risk taking.
- Consumer advocates wary of loose lending They may worry that easier securitization could encourage weaker standards for construction lending if lenders prioritize volume over quality. That could create pressure later if projects fail or borrowers face higher costs.
Key Implications
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““purchase and securitize certain residential construction loans””
This is the core policy change. It would let the two housing finance giants provide a secondary market for construction-stage lending, which can make those loans easier for lenders to originate and hold less long-term risk.
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““Federal Home Loan Mortgage Corporation””
Freddie Mac is one of the two major government-sponsored enterprises that already play a central role in mortgage liquidity. Adding construction loans to its activity would extend that role deeper into the homebuilding pipeline.
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““Federal National Mortgage Association””
Fannie Mae would receive the same authority, meaning the change would apply across the two largest federal housing-finance channels. That broadens the policy beyond a niche pilot and gives lenders more than one GSE outlet.
Official Source & Bill Facts
BillBoard checks this page against public Congress.gov metadata, then adds plain-English analysis where available.
- Bill
- HR 9461
- Congress
- 119th Congress
- Official title
- To permit the Federal Home Loan Mortgage Corporation and the Federal National Mortgage Association to purchase and securitize certain residential construction loans.
- Policy area
- Economy & Finance
- Latest action
- Referred to the House Committee on Financial Services. (June 25, 2026)
- Last updated
- June 26, 2026
Latest Status
June 25, 2026
Referred to the House Committee on Financial Services.
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