Press Room

FOR IMMEDIATE RELEASE

DATE: May 17, 2007
CONTACT: Shawn Flaherty, 703-903-4384

SURVEY REVEALS MORE THAN ONE-THIRD OF AMERICANS HAVE KNOWN SOMEONE WHO IS HOMELESS

Homelessness Touches General Population; Majority of Survey Respondents Express Willingness to Help

McLean, VA – More than one third of Americans have known someone – in most cases a friend or acquaintance who is or has been homeless, according to a recent survey that Freddie Mac (NYSE: FRE) commissioned. The survey was done in conjunction with Freddie Mac's annual Hoops for the Homeless three-on-three basketball tournament, which raises funds for, and awareness of, families facing homelessness.

According to the survey of 1,000 registered U.S. voters, 36 percent of respondents know someone who is homeless and either lives on the street or in a homeless shelter. Of those who personally know a homeless individual, 62 percent of the time it is likely to be a friend or acquaintance rather than a family member (8 percent) or relative (7 percent). (The Winston Group conducted the survey in February; the survey has a margin of error of +/- 3.1 percent.)

"The fact that one in three Americans personally knows someone who has experienced homelessness is a troubling sign of just how pervasive homelessness has become. We've certainly seen that here in the DC area, with a rising number of families with children living on our streets and in local shelters," said Ralph F. Boyd, Jr., executive vice president, Community Relations, Freddie Mac. "But I find lots of reasons to be hopeful in the fact that an overwhelming number of our neighbors have stepped in to lend a hand – either directly or indirectly."

Whether survey respondents personally know someone who is homeless or not makes little difference in their desire to help. Of those with a personal awareness of a homeless situation, 75 percent donated food through a food bank, school or religious organization, while 73 percent of individuals without a personal connection to a homeless individual did the same. However, the survey also showed that there were some differences in donations based a personal relationship. Among the findings, people helped by donating:

According to the survey, a majority of those with knowledge of a homeless situation (68 percent) reported that the homeless individual tried to seek help. The most likely source of help was a homeless shelter (49 percent), but homeless individuals also looked to churches (38 percent), family (37 percent) and friends (37 percent) for assistance.

Solving homelessness is important. Homelessness comes at an incredible cost to families and to society since they lose almost everything. Loss of home may also mean leaving behind furniture, clothing and belongings. Moving to a shelter may mean a change in school for children. Loss of housing can also lead to family separation with children potentially ending up in foster care. The cost of family homelessness goes well beyond the families themselves. The overall cost to the nation of sheltering homeless families is estimated to be between $1.9 and $2.2 billion annually, making prevention and solving the issue even more important.

There are several promising new approaches to the problem of family homelessness. An important one is the growing movement to shift from managing the problem of homelessness, to ending it. In the past several years more than 200 cities, counties and states have adopted plans to end homelessness for families and others. These plans, and others, focus on prevention, on rapidly re-housing families that do become homeless, and on linking the families with services in the community.

It's an idea Freddie Mac supports through its annual Hoops for the Homeless. This year, in addition to Earvin "Magic" Johnson headlining, Freddie Mac has teamed up with the Washington Wizards All-Star Gilbert Arenas. In addition, The Washington Post, NBC4, CBS Radio, Metro, Credit Suisse Securities (USA) LLP, and FTN Financial are among those lending a hand.

Freddie Mac underwrites the event, which this year is slated for June 9th, so that all proceeds go to six outstanding homeless organizations, including Hannah House and So Others Might Eat (SOME) in DC; United Communities Against Poverty (UCAP) and Community Ministry of Montgomery County in MD; and Reston Interfaith and Securing Emergency Resources Through Volunteer Service (SERVE) in VA. Last year alone, the event raised more than $900,000.

As the Washington area's top corporate philanthropist, Freddie Mac has invested more than $ 312 million over the past 15 years to strengthen families and communities. Also, thousands of the company's approximately 5,500 employees have given their time and charitable contributions over the years by participating in volunteer activities throughout the community such as Freddie Mac's Hoops for the Homeless.

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Freddie Mac is a stockholder-owned company established by Congress in 1970 to support homeownership and rental housing. Freddie Mac fulfills its mission by purchasing residential mortgages and mortgage-related securities, which it finances primarily by issuing mortgage-related securities and debt instruments in the capital markets. Over the years, Freddie Mac has made home possible for one in six homebuyers and more than four million renters in America.