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SALT LAKE CITY (AP) -- Fannie Mae -- the Federal National Mortgage Association -- has announced it will invest $12 billion in housing capital in Utah, potentially making affordable home ownership and rental opportunities for as many as 100,000 families.
The $12 billion is part of a $2 trillion national campaign.
An investment of $7 billion was made when Fannie Mae opened its state office in 1999. That, too, was a five-year plan, but the investment goal was reached 18 months early and provided affordable housing opportunities for 66,000 Utah families.
Fannie Mae Chairman and CEO Franklin D. Raines said Monday, "The bottom line is, we want to be the best housing partner Utah has ever had,. This is an ambitious plan, but some of the best housing partners we've got are right here in Utah."
Fannie Mae was created by Congress in 1938 to help post-Depression Era families become homeowners. It operates as a publicly traded company under a federal charter and receives no taxpayer money.
It buys mortgages from lenders after they are made, allowing lenders to replace their funds and supply mortgages to other buyers.
Last year, Fannie Mae made $35 billion and $12 billion commitments to Colorado and Nevada, respectively. Arizona was a $15 billion recipient in 2001.
In Utah, Fannie Mae works with partners in the Salt Lake City and Ogden areas. Over the next five years, it will begin efforts in other areas, including Logan, Sandy, Provo, Orem and St. George.
(Copyright 2003 by The Associated Press. All Rights Reserved.)
