Replies to post #645620 on Fannie Mae-No Politics (FNMA)

[Ripcord01]

Ending the conservatorship could disrupt the housing market????

Just think about that statement for a minute...The company still has a board of directors who run the company day to day...they will be the same people day 1 of post conservatorship.

The GSEs will still be regulated after conservatorship...

They still be using the common securitization platform...

So how is this going to disrupt the housing market?

Honestly...this is another over reaction.

What was the real problem...big banks made bad loans to people who couldnt afford housing during the housing crisis...and then they shifted the bad paper to the GSEs to cover it...

How was this the GSEs fault?

Lets not fail to mention that affordable housing was the plank of both political parties for 30-40 years prior to this crisis...and they kept pushing for lower lending standards which allowed/forced the banks to give out these loans.

Because every American who wants a home should be able to afford it...que applause and standing ovation at political rallies...

All parties were involved...in setting up the crisis and the blame shifting after the fact.

[mrfence]

I'm beginning to think Dems want to take credit for housing reform post C-ship under Biden. We know it's ending after SCOTUS decision regardless and with freed GSEs retaining capital, housing and the larger economy are certain to benefit. This media blitz amounts to stall tactics deployed by incoming Admin selling fear once again.