Replies to post #225242 on Fannie Mae-No Politics (FNMA)

[10thMountain]

Very Nice! Thanks :)

[rocco2]

“Inertia is Fannie and Freddie's best friend,”

$$ FNMA $$

[thewhale]

Maybe in the short-term, but the GSE’s are on borrowed time while in the conservatorship.

The Obama administration should be shoring up FnF now, recapitalizing and releasing the GSE’s. Turning them into a superfortress.

“Inertia”, indecision, keeping the GSE’s in conservatorship, will lead them eventually into the hands of the Crapos and Brats of Congress. There’s a huge target on FnF, they’ll be gone. Gone will be the 10% dividend, the warrants, the ease of a 30 year mortgage and low fees. "Taxpayers" will be the victims, ironically.

Obama/Treasury/FHFA’s short-sighted goal of staying in conservatorship, taking the sweep, and antipathy towards shareholders means they risk losing everything, given a few years time.

“As for the future of Fannie and Freddie, KBW’s analysts said the GSEs' odds of survival keep going up with each passing day. “Inertia is Fannie and Freddie's best friend,” they said.“ (housingwire)