Fannie Mae-No Politics (FNMA)

[RickNagra]

Written by poster “The Other.”

Calabria just pulled the rug from under the Dems. He is increasing the cap for multifamily loan purchases. And he is killing two political birds with one stone by disallowing "green loans" to qualify. In other words, he is going from much less than $35 billion to $100 billion. That's an Affordable Housing Bazooka to silence Dems while he "negotiates" the NWS with Mnuchin.

So let's put things in perspective. Trump exactly knows the importance of Housing to the economy. Because the economy is his main strategic linchpin, a) he won't gamble it, b) he will make sure it's in a better shape going into the 2020 Election. How does he do this? One, he puts his A Team on the job. Calabria, Mnuchin, Carson. Have you noticed that Calabria, a Plaintiff, is quoted by the Appellate as "new developments," hence justifying the court's reversal? And have you noticed that Calabria was previously Mike Pence's economic advisor? In this case, the adage "everything happens for a reason" is not a mystic statement, nor a mere coincidence. It all fits with point #2, the timeline.

Mnuchin, Calabria and Carson don't negotiate with each other, they agree with each other - and with the President. Calabria even gave fodder to the Court. The NWS is about to fall any day now, and the Dems cannot claim it will divert money from Affordable Housing - they just got handed some $100 billion. Sure, they can complain that this was diverted from "green projects," but which has a better chance to fly? Low Income Housing, or green air conditioners? Seems to me "house first" wins.

I have to say, this is an artfully executed plan.