Replies to post #319494 on Fannie Mae-No Politics (FNMA)

[chessmaster315]

Did you view the video? The cival rights group believes FANNIE and freddie are extremely important to minorities being able to finance their home, and NOT FHA, not HUD, but Fannie mae is the key. I agree with the cival rights groups. Here is where fannie mae offers 97% loans (3% down):

http://www.fanniemae.com/portal/about-us/media/corporate-news/2014/6203.html

The imaginary line between "the government" and "fannie mae" (a private company currently under cship and government control) is blurred.

This "blurred" line between the government and fannie mae, creates indecision, chaos, and stunts the growth of fannie mae/America's housing. Its kind of like a quarterback controversey: Few teams who have a quarterback controversy win Super Bowls. The team needs to know who is in charge, even if they dont like what he has to say. Even an "average" quarterback is much better than 2 super star quarterbacks on the same team, where the players dont even know who will be starting.
There is a special communication going on between quarterbacks and the receivers. The quarterback needs to know where that guy is gonna be when he throws the ball. The receiver needs to know if he does the work to break free of his defender, and gets open, and is in the place where he is supposed to be, the quarterback will get the ball to him.

If its a "private company", then why is it controlled by the government and why does the government get all the profits?

[Mathan22]

Just to clarify:

Fannie Mae does back loans with 3%, 5% or 10% down and anything in between. There has to be mortgage insurance and there are seal rate guidelines for all down payment options. They recently lowered the down payment from 5% to 3% with MI, but the buyer has to be a first time buyer and has to complete a homebuyer counseling class. Fannie Mae has more stringent debt to income and fico requirements than FHA (HUD) mortgages. Fannie typically will not accept loans over 45% total debt ratio where FHA can accept loans with a 47% housing and 56% total debt ratio. Fannie typically likes to see 680 FICO scores for lower down payment tiers and FHA will allow for 580.