Fannie Mae and Freddie Mac shares surge then fall after Trump values them at $1T

Wall Street analysts peg the mortgage giants' combined worth closer to $200-$250 billion, roughly a quarter of the president's estimate.

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Add us on Google by Editorial Team Jun. 6, 2026

President Trump told the world on June 5 that Fannie Mae and Freddie Mac might be worth a cool $1 trillion combined. The market briefly believed him, then thought better of it.

Shares of Fannie Mae (FNMA) jumped as much as 10% in early trading on the over-the-counter market. Freddie Mac (FMCC) wasn’t far behind, climbing nearly 9.7%. By midday, though, most of those gains had evaporated as analysts started doing what analysts do: running the actual numbers.

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The gap between rhetoric and reality

Wall Street’s consensus estimate for the combined fair value of these two mortgage finance behemoths sits between $200 billion and $250 billion. As of March 31, 2026, Fannie Mae’s net worth stood at $112.7 billion and Freddie Mac’s at $74 billion, putting their combined book value at approximately $186.7 billion. So the president’s valuation represents roughly a 5x premium over their actual net worth.

Conservatorship, crypto, and the path to privatization

Both Fannie Mae and Freddie Mac have been under government conservatorship since 2008. The Trump administration has been actively exploring pathways to release these government-sponsored enterprises from conservatorship, with part of that strategy including a $200 billion mortgage-backed securities purchase mandate designed to stabilize markets during the transition period.

The administration has also directed the GSEs to consider crypto assets in mortgage risk assessments, a move that signals interest in crypto-backed mortgages. In plain English: the government wants Fannie and Freddie to figure out whether someone’s Bitcoin holdings should count when they apply for a home loan.

What this means for investors

The gap between Trump’s $1 trillion estimate and the analyst consensus of $200–$250 billion is not just large. The combined net worth of $186.7 billion provides a floor of sorts, but the ceiling depends entirely on privatization terms that remain uncertain.

If Fannie and Freddie successfully develop frameworks for crypto-backed mortgages, it could unlock a new market of borrowers who hold significant wealth in digital assets but have struggled to qualify for traditional home loans. Privatization itself is a complex process that has been discussed for nearly two decades without resolution, and the crypto mortgage initiative adds regulatory complexity on top of an already convoluted situation.

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