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MortgagePoint ยป Your Trusted Source for Mortgage Banking and Servicing News 10 October 2023 M O V E R S & S H A K E R S Government FREDDIE MAC CEO DEVITO ANNOUNCES RETIREMENT Freddie Mac announced that Michael J. DeVito has informed the Board of Directors of his intention to retire as CEO of the government-sponsored enterprise (GSE) in the first quarter of 2024. Freddie Mac's Board has announced that it will begin a search for DeVito's successor, and a smooth transition is anticipated. In the role of Freddie Mac CEO that DeVito has held since June 2021, he currently oversees all daily aspects of the GSE, in addition to serving as a member of the company's Board of Directors. As CEO, DeVito works to ensure that Fred- die Mac fulfills its mission of providing liquidity, stability, and affordability to the nation's housing market, focusing the GSE on four priorities: advancing affordable housing, practicing risk man- agement excellence, growing talent, and delivering strong financial results. "We are very saddened to hear of Michael's departure, and the Board expresses its profound appreciation for his strong leadership and his many other contributions to Freddie Mac," said Sara Mathew, Chair of Freddie Mac's Board of Directors. "Above all, Michael demon- strated a true passion for the company's mission and drove meaningful progress in making home possible for homebuy- ers and renters in communities across the nation." DeVito spent more than 23 years at Wells Fargo before retiring in July 2020 when he was replaced by Kristy Fercho as Head of Wells Fargo Home Lending. While at Wells Fargo, DeVito worked across the company's Home Lending channel, including loan origination, ser- vicing, portfolio management, secondary marketing, and risk. At various points during his tenure, he served as Head of Home Lending Production, Home Lend- ing Servicing, Default Servicing, Loan Workout, Head of Education Financial Services, and Mortgage Retail Under- writing and Operations. "Michael DeVito has brought more than 30 years of experience and lead- ership in mortgage finance to Freddie Mac," added Sandra L. Thompson, Director of the Federal Housing Finance Agency (FHFA). "I am grateful for his commitment and dedication which has put the company in a stronger financial position while still providing broad access to credit for all creditworthy borrowers. I am deeply grateful for his service and wish him well in his future endeavors. I will work closely with the Board in identifying a successor and ensuring a smooth transition to the new leadership." PETER LILLESTOLEN TO OVERSEE AFFORDABLE HOUSING FOR FREDDIE MAC MULTIFAMILY Freddie Mac Multifamily has named Peter Lillestolen as its new VP, Production & Sales of Targeted Affordable Housing (TAH), where he will oversee the TAH retail business, Low-Income Housing Tax Credit (LIHTC) Equity, Structured Transactions for both Conventional and TAH, as well as Senior Housing. "Peter is a strong, innovative leader, ready to meet the challenges of Mul- tifamily's mission-critical businesses," said Steve Johnson, Freddie Mac's SVP of Multifamily Production & Sales. "Peter has a proven ability to make strategic, forward-looking decisions and to meet and anticipate the evolving needs of the affordable market. We are grateful for Movers & Shakers his steady leadership and his drive and passion for Multifamily." In his 12 years with Freddie Mac, Lillestolen has built a depth and breadth of experience across the Multifamily Division, starting as an analyst in Capital Markets, and later, in various leadership roles on the production team. Lillestolen most recently led the LIHTC Equity and Seniors Housing busi- nesses for Freddie Mac, while serving as a co-lead for TAH. His leadership was instrumental in helping the GSE exceed its affordable housing goals in 2022, both in the core retail business and low-in- come housing areas. Lillestolen holds a Master of Profes- sional Studies in real estate finance from Georgetown University, and a Master of Science in finance from Johns Hopkins University. He received a bachelor's degree in finance from James Madison University. As multifamily rental demand slowly returned in the first half of 2023, Freddie Mac recently projected in its Multifamily 2023 Midyear Outlook that the market will continue to stabilize, but see be- low-average growth throughout the rest of the year. Macroeconomic headwinds, including the elevated 10-Year Treasury rate, will lead to a contraction in multi- family origination volume to $370 billion. However, the economy is maintaining positive momentum, propelled by a strong labor market helping to maintain multifamily fundamentals. "Midway through the year, we are starting to see a return to more normal patterns although performance is a bit weaker," said Sara Hoffmann, Director of Multifamily Research at Freddie Mac. "We expect multifamily fundamentals to perform slightly below long-term averag- es this year, which will feel particularly slow compared with the pandemic boom years, and even the years leading up to it. But positive demand and modest rent growth indicate the multifamily market is stabilizing."