President Donald Trump and his team are reportedly preparing to sell shares of Fannie Mae and Freddie Mac, which are government-backed companies that support the housing market by making home loans more stable and affordable. This sale would be a significant move, potentially involving a large amount of stock, and could have a significant impact on the mortgage industry and the overall economy.
On Saturday, President Trump seemed to confirm The Wall Street Journal’s report that he intends to take Fannie Mae and Freddie Mac public by the end of this year. He shared an AI-generated image on Truth Social showing himself at the New York Stock Exchange, featuring the phrases “MAGA LISTED NYSE” and “The Great American Mortgage Corporation,” along with a date marked November 2025. However, the report also mentioned that the plan is still under consideration, with Trump exploring different possibilities. Still, the White House estimates that selling up to 15 percent of Fannie Mae and Freddie Mac’s shares could generate around $30 billion, potentially making it the largest IPO ever.
— Trump Truth Social Posts On X (@TrumpTruthOnX) August 9, 2025
During the 2008 financial crisis, both Fannie Mae and Freddie Mac faced severe financial troubles and were placed under government conservatorship, meaning the federal government took control to keep them afloat. Since then, these companies have been essentially government-run, with the Treasury holding large stakes in them. Trump and his economic team are now looking to sell off some of the government’s shares in Fannie Mae and Freddie Mac, a process often called “privatization” or “stock sale.” The move is considered historic because it would mark a significant step toward returning these mortgage giants to private ownership after years under federal control. The goal would be to reduce government involvement in the housing finance system, potentially increase market efficiency, and raise significant revenue for the Treasury. Trump's plan would also aim to restructure how mortgages are handled in the U.S., balancing taxpayer risk and encouraging private investment.
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