Moves to privatize mortgage-finance giants Fannie Mae and Freddie Mac appear to be on hold

 As my degenerate gambler friend always says, "run to the stink." When the spread on a game is so high that seemingly everyone is picking the favorite, that's the time to jump on the dog!

Sep 28, 2026,
Felice Maranz
Fortune Reporter

Moves to privatize mortgage-finance giants Fannie Mae and Freddie Mac appear to be on hold, according to KBW analyst Bose George. 

“While there have been occasional comments from President Trump and FHFA Director Bill Pulte about privatization, there have been no signs of action recently,” as the administration concentrates on near-term priorities, mainly the war in Iran, George writes in a note dated Sept. 27

·    He expects no action before the midterms, and says that the “2027 window is narrowing”

·    While a post-election change congressional control is “not necessarily a direct impediment to GSE privatization,” it could further slow administration efforts, he adds

 ·    High minimum required capital is a “key impediment” as well, he says

·    George cut his price target for Fannie to $3.50 from $6.25, and to $3.50 for Freddie from $6.50

·    Fannie common shares dropped as much as 9% in Monday trading, while Freddie fell as much as 7.5%; both were at the lowest intraday since mid-March

·    Both stocks have tumbled more than 60% this year along with mounting unease about the pace at which the Trump administration was moving to free the two from government control; optimism about share sales had fueled notable 2025 gains for the two companies, which have been under Washington’s control since the financial crisis

·    NOTE: June 16, Fannie and Freddie were cut to neutral from buy at BTIG as releasing the two mortgage finance giants from government control was seen as unlikely to be a “a near-term area of focus” for the Trump administration; read more: Fannie, Freddie Downgraded at BTIG as Trump’s Focus Is Elsewhere

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