Replies to post #769407 on Fannie Mae-No Politics (FNMA)

[Wise Man]

FnF don't subsidize rents directly but through LIHTC investments.
Just like the private equity firms and hedge funds, known for investing heavily here.
The investments in the Low-Income Housing Tax Credit (LIHTC) program allow FnF to fund affordable housing units, but it's very costly for the taxpayer ($11 billion per year)
For instance, it allows FnF to require multifamily borrowers to restrict rents in 20 percent of units for tenants with incomes at or below 80 percent of area median income (AMI)
So, rent control and subsidies is a theme of Congress, not FnF which are just another players in this segment.
The FHFA's RFI on Multifamily Tenant Protections is just for that, Tenant Protections, which are already protected by law.
For instance, the right to receive 30 days’ notice before being required to leave the occupied unit, is captured by State laws, yet the FHFA announced it on July 28, 2021, to pretend to be a busy regulatory Agency, when its role in the Charter Act and the FHEFSSA is limited to oversight. It doesn't have to codify every single law out there, like the Fair Housing Act that bans discriminatory actions based on race that FHFA is codifying with a new Proposed Rulemaking now in place.

The function of oversight, where it fails miserably, no matter that the FHFA and the politicians conceal that, after "ensure that FnF operate in a safe and sound manner...", it follows up with "...including maintenance of adequate capital and internal controls". ADEQUATELY CAPITALIZED.
Let alone as conservator: "Put FnF in a sound and solvent condition", related to recapitalization and reduce the debenture with the taxpayer (SPS), respectively.
Delete things with Tipp-Ex is what this agency is good at, also known as the felony of "coverup of a material fact, using schemes,..."

[Donotunderstand]

interesting

local control and decision making leads to some form of locally desired rent control

FED action leads to same or opposite but from Washington (next zoning?)

Scotus in DC decides for the local city

HELL - I have never had a complete understanding of where FEDERAL rules are best or rule - or where STATES should have lots of autonomy - and indeed where cities or counties should have more say than States
e.g. re rules that if a place is open to the general public to serve food - some regulation by FED or STATE is logical to "create equal access" (or not) and local health rules . But courts ? Clearly they have a role -- but should they be god ? What ever happened to local GOV control as the Republican Anthem - or was that simply to allow punishing and restrictive laws to prevail (and when to the mindset of R --- then big GOV should rule --- issue by issue?) Not sure at all