​Washington, D.C. – The Federal Housing Finance Agency today announced additional steps Fannie Mae and Freddie Mac (the Enterprises) are taking as they transition from the London Interbank Offered Rate (LIBOR), the world's most widely used interest rate benchmark: 

• New language will be required for single-family Uniform Adjustable Rate Mortgage (ARM) instruments closed on or after June 1, 2020;  
• All LIBOR-based single-family and multifamily ARMs must have loan application dates on or before September 30, 2020 to be eligible for acquisition; and,
• Acquisitions of single-family and multifamily LIBOR ARMs will cease on or before December 31, 2020.

“These steps represent important milestones in the Enterprises' transition away from LIBOR to a more robust reference rate.  We will continue to monitor exposure to LIBOR and ensure the Enterprises manage the risks associated with the transition in a safe and sound manner," said FHFA Director Mark Calabria.  

​Fannie Mae and Freddie Mac serve as members of the Alternative Reference Rates Committee (ARRC), which was established by the Federal Reserve Board and the Federal Reserve Bank of New York to facilitate the migration from LIBOR to Secured Overnight Financing Rate (SOFR).

​Link to Fannie Mae Single-Family LIBOR Transition Announcement

Link to Fannie Mae Multifamily LIBOR Transition Announcement

Link to Freddie Mac Single-Family LIBOR Transition Announcement

Link to Freddie Mac Multifamily LIBOR Transition Announcement​​

Link to FHFA LIBOR Transition Page at FHFA.gov