Fannie rental securitization deal draws fire from industry groups

Mortgage

WASHINGTON — Industry groups are raising more concerns about a Fannie Mae financing deal involving the securitization of single-family rental homes, arguing it is too far removed from the government-sponsored enterprise’s mandate.

The Community Home Lenders Association and National Association of Realtors have both criticized the pending $1 billion securitization for Invitation Homes, a unit of Blackstone. Though Fannie has traditionally provided financing for mom and pop investors in single-family rental units, this “appears to take Fannie Mae into another line of buisness,” said Scott Olson, who heads the home lender group.

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