Fannie Mae, Freddie Mac may need $190 billion in big downturn: regulator

Comments (2)
FreeFannieMae wrote:

Then make people pay the standard twenty percent down payment for their homes

Jack Lew has ever increasing legal reasons for wanting Fannie and Freddie eliminated.

Apr 30, 2014 9:49pm EDT  --  Report as abuse
ValuePartner wrote:

Fannie and Freddie ensure liquidity and low mortgage rates for millions US households for many years and they still do. Bad mortgages were dumped to them by banks mainly. The bailout loan is paid off already.

Treasury may sell their Options in FnF to make $200B profits of the paid-off loan and build an insurance fund to ensure the GSE is stable in worst scenario.

Instead, they choose to build a bigger bureaucracy ? Mortgage rate will be 1-1.5% higher and liquidity is unsure. US government is 100% tie to bad mortgages.

May 01, 2014 8:34am EDT  --  Report as abuse
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