Overview

• Right-leaning outlets, citing a source close to the FHFA, report the GSEs will permanently close their New York offices, with a public announcement said to be imminent and no official confirmation in the articles from FHFA or the companies.
• The source says lending in New York would continue without a physical footprint and existing office leases would be subleased.
• The reported decision follows a DOJ investigation opened in May into James’s personal mortgages after an April criminal referral by FHFA Director Bill Pulte.
• Central allegations include a 2023 Norfolk, Virginia, property identified as her primary residence on loan documents and earlier Brooklyn records that conflict on unit count.
• James and her attorney deny wrongdoing, characterizing the referral as politically motivated, and she has not been charged.