Replies to post #297408 on Fannie Mae-No Politics (FNMA)

[Dollars1]

I know what you're saying. I'm still just loving the part that I see "paid back, and then some!"

[955]

Here's just a small sample of GSE's gargantuan effort to meet Gov MANDATED Affordable Housing Goals set by HUD that were a key cause of the crisis:

Freddie Mac and Washington Mutual Complete $6 Billion Multifamily Mortgage Loan Swap Transaction

Transaction Contributes Significantly to Freddie Mac's Fulfillment of 2003 Affordable Housing Goals



MCLEAN, Va., Oct. 21 /PRNewswire-FirstCall/ -- Freddie Mac announced today
that it has purchased a $6 billion portfolio of multifamily mortgages from
Washington Mutual Bank, FA and Washington Mutual Bank (collectively, WaMu) in
exchange for Freddie Mac PCs. The transaction underscores Freddie Mac's
commitment to affordable housing and contributes significantly to the
corporation's ability to meet the 2003 affordable housing goals set by the
Department of Housing and Urban Development. The purchase of this portfolio,
which consists primarily of 5- to 50-unit mortgages, is especially significant
because affordable housing goal regulations provide special incentives to
encourage Freddie Mac's financing of mortgages on apartment buildings of this
size. As part of the transaction, Freddie Mac is providing a number of
contractual incentives, including fees to WaMu totaling $100 million payable
on the issuance of individual Freddie Mac securities during September and
October 2003. Freddie Mac may provide similar terms in future transactions,
consistent with performing its statutory purposes, including providing low-
cost mortgage financing for low- and moderate-income families.
"Freddie Mac is pleased to be working with WaMu, one of the leading
providers of mortgage credit for small multifamily properties -- a significant
source of affordable housing for millions of American families," said Adrian
Corbiere, senior vice president of Freddie Mac's multifamily division. "We
are committed to working with our lending partners to lower costs for
affordable rental housing and to meet our affordable housing commitments."

Since the introduction of the Freddie Mac Program Plus network of
multifamily loan originators and servicers in 1993, Freddie Mac has provided
financing for over 20,000 multifamily properties totaling more than $55
billion. That volume represents nearly two million rental units across the
country, a large portion of which are affordable to people whose income levels
are at or below area median income -- including newly established households,
single-parent households, large family households at lower salaries as well as
other renters.

Freddie Mac is a stockholder-owned corporation established by Congress in
1970 to support homeownership and rental housing. Freddie Mac purchases
single-family and multifamily residential mortgages and mortgage-related
securities, which it finances primarily by issuing mortgage passthrough
securities and debt instruments in the capital markets. Over the years,
Freddie Mac has opened the doors for one in six homebuyers. For additional
information about Freddie Mac, see the company's web site: www.freddiemac.com.



SOURCE Freddie Mac

http://www.prnewswire.com/news-releases/freddie-mac-and-washington-mutual-complete-6-billion-multifamily-mortgage-loan-swap-transaction-72636127.html


GET GOV OUT OF THE HOUSING INDUSTRY!