The Senate confirmed businessman Bill Pulte Thursday to lead the Federal Housing Finance Agency, a big step for the administrative body overseeing Fannie Mae and Freddie Mac.
It backed him on a 56-43 vote that mostly held to party lines. Sens. Angus King of Maine and Bernie Sanders of Vermont, both independents, voted against his nomination, and Democratic Sens. Angela Alsobrooks of Maryland, Ruben Gallego of Arizona, and Elissa Slotkin crossed the aisle to give him the nod. Sen. Sammy Duckworth did not vote.
The FHFA oversees the Federal National Mortgage Association, known as Fannie Mae, and the Federal Home Loan Mortgage Corp., known as Freddie Mac, government-sponsored enterprises that buy mortgages from lenders and package them into securities that can be sold to investors. The purchases provide lenders with capital they can lend again. During his campaign in 2024, President Donald Trump said he wanted to privatize these agencies, which have been under federal conservatorship since the 2008 financial crisis.
The federal government took over Fannie Mae and Freddie Mac during the Great Recession amid concerns about their financial stability during the housing market crisis. Some housing experts say their privatization would allow for more competition in the mortgage lending market. Trump attempted and failed to release Fannie Mae and Freddie Mac from government control during his first term, but policy analysts bet privatization will be possible given that the Republicans have the majority in the House and Senate.
After his meeting last month with the Senate Committee on Banking, Housing and Urban Affairs, Pulte submitted written responses to questions. He said he plans to gather input from Congress on the agencies' potential exit from conservatorship. Any final decision would require approval from President Trump and Secretary of Treasury Scott Bessent.
“Fannie Mae and Freddie Mac are large non-bank financial entities that posed a serious threat to our country’s financial stability in 2008,” Pulte said in his written responses. “If confirmed, I will be laser-focused on ensuring Fannie’s and Freddie’s safety and soundness, and the safety and soundness of the entire housing finance system.”
Pulte has a family history in real estate. His grandfather, William Pulte, founded one of the country’s largest housing development firms, PulteGroup, in 1950. Pulte followed a similar path when launching his own Chicago-based private equity firm, Pulte Capital Partners, which invests in building products businesses.
“Fannie Mae and Freddie Mac ... are the backbone for middle-class homeownership and rentership. It is of the utmost importance that we take a measured and thoughtful approach" to any reforms, Shannon McGahn, executive vice president and chief advocacy officer for the National Association of Realtors, said in a statement. “Director Pulte's experience and commitment will help strengthen the housing finance system and support sustainable homeownership for all Americans.”
