Replies to post #715044 on Fannie Mae-No Politics (FNMA)

[Azbd2030]

fnf are simply selling more paper MBS,CRT.. then they have actual housing, that are the profits. To compensate they print more and more paper to keep up. The only thing keeping it going is falling interest rates and rising home prices. Both of which are disappearing.

[JOoa0ky]

Its wrong... I know...

No one disagrees with that...

I can't bet on the govt doing the right thing. Its so sad... I would love to but it doesn't seem possible.

Hence why I'm sitting in JPS because at least there are contract claims...

Here's the thing though, the seniors and the warrants WERE TAKEN as a insurance policy in the beginning, there was never ANY reason to believe that it was going to be a financial take over via rigged laws and accounting.

The government is not allowed to own companies! So once any cram down or warrant exercise happens, I expect law suits, because at that point government is a majority owner and needs to book 6+ trillion onto the countries debt.

How do they explain to any new investors who want security that they used insurance policy backstop tactics to usurp ownership? What's the guarntee they won't do it to the next group of investors? The only way is to provide a clean slate by re-instilling market confidence, which as you can see, does not exist right now. The government really needs to think about the Wallstreet proverb that always holds true : Pigs get fat, hogs get slaughtered. They are way beyond fat from all their NWS, and if they go full "hog" on this, it will not only be us paying, but they will have to explain to taxpayers why they are doing another 100+ billion bail out or in the other direction, why their 30yr mortgage is 15%+

The market is all about confidence, trust and truth in reported numbers and ethical business practices at the end of the day, even though greed is good.