Fannie Mae-No Politics (FNMA)

[along4zride]

THREE REASONS FANNIE MAE IS DOOMED (FNMA)

1.About 4% (or 1.1 million) of Fannie and Freddie's mortgages are currently in some stage of delinquency.About half of these are seriously (90 or more days) delinquent and a good portion of these will likely end up in foreclosure.

2.There is no doubt in anybody’s mind that there has been a significant drop-off in conventional lending to people of color, and that it’s an issue we can and should address.
During the housing bubble, even creditworthy minorities were disproportionately steered into subprime loans by unscrupulous lenders.

3.If Fannie and Freddie are kept alive, there is a good chance the lawsuits will fail and this will easily go the other way leaving shareholders with nothing.