Trump Administration Weighs IPOs for Fannie Mae and Freddie Mac

The Trump administration could launch initial public offerings for mortgage finance giants Fannie Mae and Freddie Mac later this year, Reuters reported (8-8-25), citing a Wall Street Journal report based on people familiar with the matter.

The share sales could value the companies at roughly $500 billion combined, according to the Journal.

Such a move would mark a major milestone for the two companies, which have been under federal conservatorship since 2008. Created by Congress to support the housing market by ensuring affordable mortgage financing, both companies were severely hit during the financial crisis and required taxpayer bailouts. In exchange, the Treasury Department received preferred shares, which have since paid billions of dollars in dividends.

Efforts to return the companies to private control, including during Trump’s first term, have repeatedly stalled. Any exit from government control could be complex, given the trillions of dollars in mortgages the companies guarantee.

The administration has been talking to banks about the potential share sale but has not formally appointed one to lead the process, a source familiar with the matter said.