Freddie Mac, formally known as the Federal Home Loan Mortgage Corporation (FHLMC), is a government-sponsored enterprise (GSE) created in 1970 to expand the secondary market for mortgages in the U.S.. Along with Fannie Mae, Freddie Mac buys mortgages from lenders, pools them, and sells them as mortgage-backed securities (MBS) to private investors. This process increases the supply of money available for mortgage lending and promotes homeownership and affordable rental housing. Freddie Mac guarantees payment of interest and principal on the mortgages backing the securities. The company is headquartered in McLean, Virginia.
Kenny Smith is the current Chief Executive Officer of Freddie Mac. Recent news includes updates to servicing and loss mitigation policies for mortgage servicers, with changes to forbearance plans taking effect in May 2026. Freddie Mac's multifamily production volume increased by 17% in 2025, topping $77 billion. Average 30-year fixed-rate mortgages hit a low of 6.01% in February 2026. Freddie Mac, under government conservatorship, plays a crucial role in the housing market, and its activities are closely monitored for their impact on mortgage rates and housing affordability.
