CREF Policy Update:#MBACREF25 Brings More Than 2,000 CREF Professionals to San Diego
#MBACREF25 Brings More Than 2,000 CREF Professionals to San Diego
More than 2,000 CREF professionals joined us last week in San Diego for MBA’s 2025 Commercial/Multifamily Finance Convention and Expo.
The bottom line: #MBACREF25 attendees heard from top industry voices on the Trump administration’s priorities at the Federal Housing Administration (FHA) and Fannie Mae and Freddie Mac (two of the housing GSEs), the regulatory environment for banks and other capital sources, federal and state climate reporting requirements, borrowing and leasing activity trends, and much more.
There were also speeches from MBA President and CEO Bob Broeksmit, CMB, MBA 2025 Chair Laura Escobar (who presented Smriti Popenoe, with the 2025 CREF Distinguished Service Award), MBA 2025 Chair-Elect Christine Chandler, and tennis legend Andre Agassi.
Go deeper: MBA released numerous research reports, including its 2024 Commercial Real Estate Survey of Loan Maturity Volumes, 2025 CREF forecast, Q4 2024 Quarterly Survey of Commercial/Multifamily Mortgage Bankers Originations, and the 2024 Year-End Commercial/Multifamily Servicer Rankings.
For more information, please contact Jamie Woodwell at (202) 557-2936 and Megan Booth at (202) 557-2740.
Jonathan McKernan Emerges as New Nominated Director of CFPB
Last Tuesday evening, Jonathan McKernan was nominated to serve as the permanent Director of the Consumer Financial Protection Bureau (CFPB). McKernan was most recently a member of the Board of Directors of the Federal Deposit Insurance Corporation (FDIC). He also has deep housing finance experience at the Federal Housing Finance Agency (FHFA) and the Treasury Department – and during his work in the Senate.
• Until McKernan is confirmed by the full Senate, the agency will continue to be led by Acting Director Russel Vought, who was appointed to the role last weekend and also serves as the fully confirmed Director of the Office of Management and Budget.
What they’re saying: In a press statement on McKernan’s nomination, MBA’s Broeksmit said, “MBA looks forward to working with him and his staff to ensure that the agency operates within its statute to protect consumers in a manner that is transparent, fair, and supports competitive markets for financial products, including mortgages.”
Go deeper: This week, Acting Director Vought issued an even more expansive and prescriptive memorandum than the one Treasury Secretary Scott Bessent sent a week earlier to CFPB staff that explicitly halts all ongoing, pending or planned rulemaking, guidance and bulletins, research reports, enforcement actions, examinations and litigation. Stakeholder outreach and communications are also suspended.
• In addition, although the CFPB website landing page returns a 404 error, all other materials on the website remain available for now.
Why it matters: Rules or guidance issued under previous Director Chopra’s regime could be modified or rolled back (including Section 1071) and enforcement actions dropped. Changes to rules will still require the regulatory process with proposed rulemakings, but guidance and advisory opinions can be removed or altered quickly.
• While significant changes at CFPB are needed, MBA has urged the Administration to ensure that process carefully evaluates the impact on the mortgage and housing ecosystem.
What’s next: MBA is monitoring the ongoing developments at the CFPB and is engaging with the Trump administration to better understand the review of the agency’s activities and future priorities and the impact on housing finance and regulatory enforcement actions.
For more information, please contact Megan Booth at (202) 557-2740 and Justin Wiseman (202) 557-2854.
Fed Chair Powell Provides Semi-Annual Report to Congress
Last Tuesday and Wednesday, the Senate Banking Committee and House Financial Services Committee, respectively, held their semi-annual hearings with Federal Reserve Chair Jerome Powell. The hearings covered a wide range of topics including monetary policy, digital assets, financial crime, Basel III Endgame, consumer protection, supply chains, and the future of the housing GSEs.
At the Banking Committee hearing, Senator Mike Rounds (R-SD) asked about the status of the Basel III Endgame, to which Powell responded that the Federal Reserve remains committed to completing Basel III and is currently awaiting new leadership getting underway at the Office of the Comptroller of the Currency and the Federal Deposit Insurance Corporation. He also responded to Senator Rounds’ question about the Endgame remaining capital neutral, adding that “it’ll shake out somewhere in that area.”
Senator Jack Reed (D-RI) asked if the federal guarantee of the GSEs makes housing more attainable and more accessible. Powell responded that he does believe this helps hold down mortgage rates. Additionally, Powell said that over the longer run, privatizing the GSEs “has some appeal,” but he indicated that it is a decision for lawmakers.
Senator Jim Banks (R-IN) discussed the rising cost of homeownership. Powell noted that while the Federal Reserve affects housing prices through interest rates, many cost inputs occur at a state and local level through regulations, as well as inflation. Powell also agreed with Senator Catherine Cortez Masto (D-NV) that a significant supervisory gap exists for so long as work is halted at the CFPB.
At the House hearing, Committee Chairman French Hill (R-AR) voiced substantial apprehension that the Basel III proposal could undermine the competitiveness of American banks. Powell committed to revisiting the rule, with a focus on ensuring capital neutrality in any revised version.
Representative Brad Sherman (D-CA) asked whether higher mortgage rates would result from a lack of an explicit or implicit guarantee for the GSEs.
Powell said, “Since you’d no longer be borrowing on the credit of the United States . . . it could lead to that.” Powell added that privatizing Fannie and Freddie “might have other virtues too.”
Summaries of both hearings may be found here and here.
Why it matters: The Federal Reserve is a key player in the federal regulations and guidance impacting the housing finance industry, as well as setting interest rates. President Trump has indicated he may seek to replace Chair Powell at some point, but at the hearing, Powell reiterated his belief that the President is unable to remove the Chair of the Federal Reserve.
Go deeper: Chair Powell also discussed several other matters of interest during the two hearings, including that he believes in pursuing regulatory tailoring based on bank size and that he is extremely concerned with the trend of insurance providers and banks pulling out of areas at-risk for natural catastrophes.
What’s next: MBA will continue to actively engage with the Federal Reserve, the Senate Banking Committee, and the House Financial Services Committee on matters important to the housing finance industry.
For more information, please contact George Rogers at (202) 557-2797 or Ethan Saxon at (202) 557-2913.
Upcoming MBA Education Webinars on Critical Industry Issues
MBA Education continues to deliver timely commercial/multifamily and single-family programming that covers the spectrum of challenges, obstacles and solutions pertaining to our industry. Below, please see a list of upcoming and recent webinars – all complimentary to MBA members:
• The Evolving Role of Document Management in Commercial Real Estate Lending – March 13
• Understanding Parametric Insurance: A Lender’s Guide to Maximizing Protection and Efficiency – April 10
• Uncovering Fraud in Commercial/Multifamily Lender-Placed Insurance – April 15
• Builder’s Risk Insurance: Analysis & Perspectives – April 17
• Basics of Commercial Loan Closing and Loan Documentation – May 1
MBA members can register for any of the above events and view recent webinar recordings by clicking here.
For more information, please contact David Upbin at (202) 557-2931.
