Michael DeVito, CEO of Freddie Mac and longtime mortgage industry executive, has informed its board of directors that he intends to retire in the first quarter of 2024, the government-sponsored enterprise (GSE) has announced.
DeVito joined Freddie in June 2021, succeeding interim CEO Mark Grier. DeVito’s appointment to the CEO post completed the leadership transition following the November 2020 departure of David Brickman, who stepped down it became clear that releasing the GSEs from conservatorship was no longer a priority.
His tenure at the helm of Freddie has seen both peaks and valleys in the market, entering the enterprise’s executive suite during the tail end of pandemic housing boom and guiding Freddie through the recent residential downturn. Freddie remained productive and profitable throughout, reporting $2.9 billion in net income in its second quarter earnings release, up 20% annually. Freddie’s portfolio of single-family mortgages rose 3% year over year during the period, growing to $3.0 trillion.
Sandra Thompson, director of the Federal Housing Finance Agency, praised DeVito for his leadership.
“Michael DeVito has brought more than 30 years of experience and leadership in mortgage finance to Freddie Mac,” she said. “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.”
Thompson and the FHFA, which administers the Freddie and fellow GSE Fannie Mae, will work closely with Freddie’s board to choose a successor and “ensure a smooth transition to the new leadership,” according to her statement. “A smooth transition is anticipated,” according to a statement from Freddie Mac.
“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 demonstrated a true passion for the company’s mission and drove meaningful progress in making home possible for homebuyers and renters in communities across the nation.”
DeVito’s mortgage experience extends far before his stint at Freddie Mac, having served at Wells Fargo for more than 23 years. He held several leadership roles at the bank, including executive vice president and head of home lending, overseeing all of the company’s forward mortgage and home equity business operations.