Sen. Lummis Proposes Bill to Include Crypto in Home Loan Evaluations

Senator Cynthia Lummis has introduced the 21st Century Mortgage Act, a legislative push to require mortgage giants Fannie Mae and Freddie Mac to consider cryptocurrency holdings when assessing single-family home loan applications. The bill aims to expand access to homeownership for younger Americans by recognizing digital assets as part of wealth evaluation without mandatory conversion to fiat.

"The American dream of homeownership is not a reality for many young people," Lummis stated, framing the proposal as an acknowledgment of how digital natives accumulate wealth. The legislation explicitly prohibits lenders from forcing crypto-to-fiat conversions during qualification processes, potentially creating new pathways to mortgage approval for crypto holders.

This MOVE follows a directive from FHFA Director William Pulte mandating the government-sponsored enterprises to develop crypto risk assessment frameworks. As dominant forces in the secondary mortgage market, Fannie and Freddie's adoption could significantly influence lending standards nationwide.