usc 12 § 4561
Establishment of housing goals (BANKS AND BANKING (12 U.S.C.))
Operative Text
The Director shall, by regulation, establish effective for 2010 and each year thereafter, annual housing goals, with respect to the mortgage purchases by the enterprises, as follows: Four single-family housing goals under . One multifamily special affordable housing goal under . The Director shall, by regulation, establish an annual deadline by which the Director shall establish the annual housing goals under this subpart for each year, taking into consideration the need for the enterprises to reasonably and sufficiently plan their operations and activities in advance, including operations and activities necessary to meet such annual goals. The annual housing goals effective for 2008 pursuant to this subpart, as in effect before , shall remain in effect for 2009, except that not later than the expiration of the 270-day period beginning on , the Director shall review such goals applicable for 2009 to determine the feasibility of such goals given the market conditions current at such time and, after seeking public comment for a period not to exceed 30 days, may make appropriate adjustments consistent with such market conditions. Upon request by the Director, an enterprise shall provide to the Director, in a form determined by the Director, data the Director may review to determine whether there exist disparities in interest rates charged on mortgages to borrowers who are minorities as compared with comparable mortgages to borrowers of similar creditworthiness who are not minorities. Upon a preliminary finding by the Director that a pattern of disparities in interest rates with respect to any lender or lenders exists pursuant to the data provided by an enterprise in paragraph (1), the Director shall_ refer the preliminary finding to the appropriate regulatory or enforcement agency for further review; and require the enterprise to submit additional data with respect to any lender or lenders, as appropriate and to the extent practicable, to the Director who shall submit any such additional data to the regulatory or enforcement agency for appropriate action. The Director shall submit to the Committee on Financial Services of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate a report describing the actions taken, and being taken, by the Director to carry out this subsection. No such report shall identify any lender or lenders who have not been found to have engaged in discriminatory lending practices pursuant to a final adjudication on the record, and after opportunity for an administrative hearing, in accordance with subchapter II of chapter 5 of title 5. In carrying out this subsection, the Director shall ensure that no property-related or financial information that would enable a borrower to be identified shall be made public.
Under 12 U.S.C. § 4561, the Director of the Federal Housing Finance Agency is required to set annual housing goals—covering four single-family categories and one multifamily special affordable housing category—that govern the mortgage purchasing activities of Fannie Mae and Freddie Mac (the 'enterprises') for 2010 and beyond. The Director must also establish a yearly deadline for setting those goals, giving the enterprises enough lead time to plan accordingly. Additionally, the provision creates a framework for reviewing potential racial disparities in mortgage interest rates: if the Director finds a preliminary pattern of such disparities, the matter is referred to the appropriate regulatory or enforcement agency, and any resulting reports to Congress cannot name lenders unless a final adjudication of discriminatory lending has been made.
Plain English — not legal advice.
While 12 U.S.C. § 4561 primarily governs the federally regulated enterprises and their mortgage purchasing goals rather than individual landlords, property owners who rely on enterprise-backed financing should be aware that the goals set under this provision shape the types of mortgages the enterprises are incentivized to purchase. Operators of multifamily properties may find that the special affordable housing goal established under § 4561 influences the availability and terms of financing products in the market. Staying informed about the annual goals the Director establishes can help property owners and managers anticipate shifts in the mortgage market relevant to their portfolios.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
For tenants and prospective homebuyers, 12 U.S.C. § 4561 is significant because it requires the Director to monitor whether lenders are charging higher interest rates to minority borrowers compared to similarly creditworthy non-minority borrowers, and to refer patterns of disparity to enforcement agencies. If a borrower believes they have experienced discriminatory mortgage pricing, the oversight mechanism established under § 4561 represents one avenue through which such patterns may be identified and addressed at a systemic level. Individuals who believe they have been affected by discriminatory lending practices may wish to consult a tenant-rights or fair-housing organization to understand what complaint or enforcement options may be available to them.
General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.
Generated September 13, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.
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