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- Lutnick says Fannie, Freddie IPO could be this year
Lutnick says Fannie, Freddie IPO could be this year
Plus: Foreclosure activity rises for sixth straight month
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Disclaimer: Average mortgage rates as of September 12, 2025. © MND Daily Rate Index.
1. Lutnick says Fannie, Freddie IPO could be this year
Commerce Secretary Howard Lutnick suggested the U.S. government may push forward with an IPO of mortgage giants Fannie Mae and Freddie Mac in 2025, potentially making it the largest public offering in history.
He said the goal is to show taxpayers the true market value of the GSEs while keeping mortgage costs low under the Trump administration. Lutnick noted it “could well be a this year thing,” while Trump has floated the idea of merging the two firms under the ticker “MAGA.”
“I think a deal is going to be struck. I think we’re going to take the company public. I think we’re going to sell it. … Could potentially be the largest IPO in history, right? But only a small percentage of these companies. And we’ll show the American taxpayers these are assets that they didn’t think they owned, but we own them. The taxpayers own them.”
2. Trump-Cook clash raises mortgage privacy questions
Allegations of occupancy fraud against Fed Governor Lisa Cook, made public by FHFA Director Bill Pulte, have ignited debate over how borrower data is handled.
Pulte disclosed referral letters that included loan amounts and partial addresses, details legal experts say are unusually sensitive to release.
Attorneys note the case highlights a gray area in how Fannie Mae and Freddie Mac — which handle vast troves of borrower data — balance fraud detection with privacy laws.
Although some mortgage information is public, most loan-level data is private, and releasing it selectively can undermine borrower trust. Experts warn that public disclosure of sensitive mortgage details risks eroding confidence in the system.
Related: Lisa Cook loan docs listing ‘vacation home’ seem to undermine mortgage fraud claims
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3. More Nuggets
💸 HELOC disruptor Figure boasts $7B market cap after successful IPO. (Morning Star)
🎙️ Two heavyweights battle over the defining debate of the mortgage industry: Who is better, bankers or brokers? (NMP)
📰 Non-QM lender Griffin Funding unveils AI-driven underwriting platform. (E&V)
ION: 🍔 Shake Shack is launching a French onion soup... burger. (Sherwood)
4. Foreclosure activity rises for sixth straight month
ATTOM’s August foreclosure market report shows foreclosure activity continuing to climb. A total of 35,697 properties had foreclosure filings—default notices, scheduled auctions, or bank repossessions—which was down 1% from July, but up 18% year-over-year, marking the sixth consecutive month that number has risen.
Lenders initiated 24,254 foreclosure starts, essentially flat month-over-month, but up 17% from last year, with Texas, Florida, and California leading the nation.
Here are the top three states and metros with the highest foreclosure rates in August.
States
| Metros
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5. Consumer sentiment drops to lowest point since May
Consumer sentiment continued to slide in September, falling to its lowest point since May, as tariffs seep into product prices and Americans start to spend more cautiously.
The University of Michigan's preliminary September sentiment index, released Friday, declined 4.8% to 55.4 from 58.2 in August.
"Consumers continue to note multiple vulnerabilities in the economy, with rising risks to business conditions, labor markets, and inflation. Likewise, consumers perceive risks to their pocketbooks as well," Joanne Hsu, director of the Surveys of Consumers at U. of Michigan, said in a statement.
☀️ You’re all caught up. See you on Wednesday!
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