Senators Urge FHFA to Prioritize 'Missing Middle' Housing Funding
Senator Angela Alsobrooks (D-Md.) and Congressman Sam Liccardo (D-Calif.-16) are pressing Federal Housing Finance Agency (FHFA) Director Bill Pulte to increase lending for 'missing middle' multifamily affordable housing. This initiative, reported on September 24, 2026, aims to reform the Federal Home Loan Bank (FHLB) system to direct more capital towards 5-to-49-unit multifamily housing developments for both ownership and rental. The lawmakers highlighted a significant financing gap for these types of developments, which are often too large for conventional single-family lending but too small to attract institutional capital. They propose that the FHFA leverage its existing authority as the FHLB system regulator to encourage FHLBanks to prioritize targeted advances and lending products for these 'missing middle' projects. This effort aligns with Executive Order 14393, 'Promoting Access to Mortgage Credit,' which directs the FHFA to consider creating targeted FHLB liquidity programs for entry-level housing ...
