Fannie Mae has appointed Hugh Frater as its permanent chief executive officer following a six-month search to replace former CEO Timothy Mayoupolos, who stepped down in October.
Frater, who served as interim CEO during the six-month search, has served on Fannie Mae’s board of directors since 2016. Over the course of his career, he has served as a founding partner of Black Rock, led Berkadia Commercial Mortgage and oversaw the real estate division at PNC Financial Services.
“Hugh’s deep understanding of the housing and the financial services industries, broad experience, and strong leadership skills make him an ideal choice to lead Fannie Mae,” said Jonathan Plutzik, chair of Fannie Mae’s board of directors, in a statement. “Hugh’s contributions as Interim CEO over the last several months demonstrate his commitment to strengthening the company and delivering value to our customers and partners.”
In his new role, Frater will spearhead Fannie Mae’s quest to offer more affordable mortgages. Last summer, the National Association of Realtors expressed its desire to see both Fannie Mae and Freddie Mac maintain 30-year fixed-rate mortgages, affordable credit and reliable access to housing for both renters and homeowners.
“I am honored with this opportunity to lead Fannie Mae and to play a part in the company’s important contributions to the housing finance system,” Frater said in a statement. “The Fannie Mae of today is customer focused, innovative, and committed to leading a housing finance system that is safe, sound, and sustainable for taxpayers and creditworthy borrowers of all income levels.”
Last week, Fannie Mae also welcomed two new members to its board of directors. Freddie Mac, meanwhile, has also recently announced a new incoming CEO — current president David Brickman will take the reins after Donald Layton’s retirement in July.
In January, Blend, the digital mortgage application startup, tapped Mayopoulos, Fannie Mae’s former CEO, to serve as president.
As part of that role, Mayopoulos has been managing the digital mortgage company’s long-term planning strategy and overseeing the company’s growth as it develops technology that mortgage lenders use to process loan evaluations. Mayoupolos also now serves on Blend’s board of directors.