Fannie Mae-No Politics (FNMA)

[Sogo]

Agreed Watt / Obama want to get mortgage forgiveness of some sort. Gop doesn't want that. Anyway, we should think not along the lines of what Watt wants to do with the GSEs (wind down, release, nationalize), but rather, what actions will make it easier to get the mortgage forgiveness the president wants to get so he can look like a hero next year? Will the proposed FMIC solution make that easier? Will releasing the GSEs make it easier? Will keeping the GSEs in Cship make it easier? Or will passing some small reforms but mostly keeping the GSEs as they are make it easier? Which of those approaches makes it easiest for obama to get his mortgage forgiveness? That could be the real question, because frankly, that's all we really know for sure that the prez wants to do. He's been talking about it for years now. If we assume that's his priority, and that he doesn't care much for the bigger picture beyond that (as most politicians don't), then which scenario serves him best in his effort to get mortgage forgiveness?

I'm not sure I have that answer. I imagine keeping FnF mostly the same but adding / including a few extra strings controlled by the executive branch in the reform would be enough to make mortgage forgiveness possible. I'm sure it would be possible with the FMIC proposal too. But I don't see how winding down or dissolving the GSEs would help him get mortgage forgiveness. Any thoughts?