According to a statement, Fannie Mae participated in the investment of $21.2 billion in multifamily housing in 2004. The record year was 2003, during which time Fannie Mae and partners were involved in $36 billion in rental housing investments.

"Fannie Mae worked closely with its lenders and housing partners in 2005 to improve delegation and enhance the products that help us deliver financing to the markets that need it most," says Richard Lawch, Fannie Mae senior vice president of Multifamily Lending & Investment. "The shortage of affordable rental housing in high-cost areas is an ever-increasing issue, and Fannie Mae and its partners stand ready with the financing solutions to help address it."

Much of the funding that was issued, $19 billion, came from DUS lenders, while $1.9 billion originated from Fannie Mae's MFlex lenders, a group of six banks located on the East Coast and in the Midwest that focus predominantly on small multifamily projects.