- Mortgage Nuggets
- Posts
- Trump administration eyeing IPOs for Fannie Mae and Freddie Mac this year
Trump administration eyeing IPOs for Fannie Mae and Freddie Mac this year
Plus: Boomers own half of $34 trillion equity pie
In partnership with
🌆 Happy Monday dear reader! Today's newsletter is 598 words, a 2.5-minute read.
Disclaimer: Average mortgage rates as of August 08, 2025. © MND Daily Rate Index.
1. Trump administration eyeing IPOs for Fannie Mae and Freddie Mac this year
The Trump administration is preparing to sell stock in mortgage giants Fannie Mae and Freddie Mac in an offering it believes could raise around $30 billion and kick off later this year, according to the New York Times.
The plans being discussed by some administration officials could value the companies at roughly $500 billion or more combined and involve selling between 5% and 15% of their stock, some of the people said. Still up for debate is whether the mortgage giants would IPO as one company or two separate entities.
The CEOs of six large banks—Morgan Stanley, JPMorgan Chase, Goldman Sachs, Citigroup, Wells Fargo and Bank of America—traveled to D.C. in recent weeks to meet with President Trump to discuss potential plans for Fannie and Freddie.
2. Boomers own half of $34 trillion equity pie
U.S. homeowners hold $34.5T in equity, up $600B from a year ago and $4.7T from 2023, per LendingTree. Baby Boomers control roughly half ($18T–$19T), concentrated in states like Florida, California, Arizona, and Hawaii.
Average home equity loan offers hit $145K in Q1 2025, up 39% YoY, with Hawaii topping at $493K. Rates average 7.37%, lowest in WV/NH (7.07%), highest in ND (7.94%). Gen X owns $14.14T in equity, Millennials $9.9T, and the Silent Generation $4.38T. Lenders are offering record amounts to tap growing homeowner wealth.
“Housing prices continue to rise in much of the country while people stay put in their current homes, reluctant to trade their current low mortgage rate for the higher rate that would come with a new mortgage. The longer they stay in their home, the more of their mortgage they pay off. Combine that with increasing home prices and you get significantly higher home equity.”
A MESSAGE FRON LONG ANGLE
A Private Circle for High-Net-Worth Peers
Long Angle is a private, vetted community for HNW entrepreneurs and executives ($5M-$100M net worth). No membership fees.
Connect with self-made peers in confidential discussions and live meetups.
With $100M+ invested annually, secure preferential terms unavailable to individual investors.
3. More Nuggets
💼 Covered appoints Dan Bos as chief revenue officer to accelerate market growth. (Covered)
💰 Pennymac restructures more debt with $650 million offering. (NMN)
🚨 More homeowners are struggling to keep up with property taxes. (Cotality)
🆕 loanDepot shakes up leadership after Hsieh's comeback. (HousingWire)
4. Union Home Mortgage sues couple for trade secret theft
According to National Mortgage News, Union Home Mortgage is suing former employees Nathan and Rachel Duce, alleging they stole client data and violated noncompete agreements after moving to American Pacific Mortgage.
The Ohio lender claims Nathan forwarded borrower info to Rachel after she left for APM, which is located 17 miles from her former branch. UHM seeks an injunction enforcing the one-year noncompete, accusing APM of knowingly ignoring it.
Rachel remains at APM; Nathan is currently unemployed. This is UHM’s second recent lawsuit against ex-staff who joined APM in alleged breach of contract.
5. Wells Fargo won’t face class-action mortgage discrimination lawsuit
A federal judge denied class action certification to applicants suing Wells Fargo over alleged systemic discrimination against several Black and Hispanic mortgage borrowers because they lacked commonality among their claims.
Judge James Donato of the U.S. District Court for the Northern District of California noted that the plaintiffs are trying to consolidate “hundreds of thousands of home loan decisions” into a single class action, but, per precedent, plaintiffs must demonstrate a common factor connecting all these individual decisions. Plaintiffs can, however, file individual lawsuits, he said.
“Without some glue holding the alleged reasons for all those decisions together, it will be impossible to say that examination of all the class members’ claims for relief will produce a common answer to the crucial question why was I denied,” Donato wrote in a court document Tuesday. “Plaintiffs did not identify any ties that bind for purposes of commonality.”
A MESSAGE FROM PACASO
Former Zillow exec targets $1.3T
The top companies target big markets. Like Nvidia growing ~200% in 2024 on AI’s $214B tailwind. That’s why the same VCs behind Uber and Venmo also backed Pacaso. Created by a former Zillow exec, Pacaso’s co-ownership tech transforms a $1.3 trillion market. With $110M+ in gross profit to date, Pacaso just reserved the Nasdaq ticker PCSO.
Paid advertisement for Pacaso’s Regulation A offering. Read the offering circular at invest.pacaso.com. Reserving a ticker symbol is not a guarantee that the company will go public. Listing on the NASDAQ is subject to approvals.
☀️ You’re all caught up. See you on Wednesday!
🚀 Wanna help our newsletter grow? Forward it to a friend or colleague.
Would you like to receive a ready-to-send weekly marketing email for your realtors and/or clients? Start your 30-day free trial here.
Was this email forwarded to you? Subscribe here.
Interested in advertising to 40k+ loan officers? Get in touch.