What if Fannie and Freddie Were Eliminated?

[spursncowboys]

http://blog.heritage.org/2012/04/20/morning-bell-what-if-fannie-and-freddie-were-eliminated/


Quick Hits:
One in seven Americans — 45 million people — received food stamps in 2011, according to the Congressional Budget Office. That’s a 70% increase from 2007 that is only expected to grow.

The House last night voted in favor of a $46 billion tax cut for small businesses with fewer than 500 employees. The White House has vowed to veto the bill, and it is expected to fail in the Senate.

An increasing number of Democrats in Congress are expressing concerns and regrets over Obamacare. But meanwhile, unions are targeting Democratic Rep. Jason Altmire (PA) in his primary election because he voted against the legislation.

How well do you think you know the Constitution? If you’ve ever wanted to learn more about it, now is your chance. Heritage just launched ConstitutionOnline – a comprehensive and authoritative analysis of every single clause in the Constitution.

[boutons_deux]

heritage, oilco and Kock Bros whores.

[Wild Cobra]

heritage, oilco and Kock Bros whores.
Don't you get tired of that cheer? How long have you been a Cheerleader anyway?

[Wild Cobra]

Government should not be in the business of picking winners and losers, especially since they fuck up so badly.

Remember. When government says "we're here to help." RUN!

[boutons_deux]

"especially since they fuck up so badly"

like what? commercial spinoffs from govt/DoD projects have been fundamental to American wealth.

St Ronnie got it wrong on everything. UCA sucks harder and longer and more successfully on the govt teat than all the poor people.

[George Gervin's Afro]

Heritage lol

[RandomGuy]

It still probably wouldn't change the fact that you don't understand gas prices.

[admiralsnackbar]

Government should not be in the business of picking winners and losers

Funny... seems to me that is exactly the business government is in.

All government.

[FuzzyLumpkins]

Heritage lol

Next he will be citing ALEC.

[boutons_deux]

Don't you get tired of that cheer? How long have you been a Cheerleader anyway?

y'all never get tired of repeatedly spewing right-wing lies, slanders, denials as truth, so I return the favor with The Real Truth.

[CosmicCowboy]

PLEASE don't eliminate them till I can refinance at 3%. Paperwork is in. Thanks guys! Y'all are swell!

[CosmicCowboy]

Cash out refi. Ka-CHING!

[Winehole23]

emotive prose

the article leaves wholly unexplained how GSEs holding over half the market of home mortgages in the USA will be "phased out," but gee, wouldn't that be a swell idea!

[CosmicCowboy]

emotive prose

the article leaves wholly unexplained how GSEs holding over half the market of home mortgages in the USA will be "phased out," but gee, wouldn't that be a swell idea!

They could just stop buying new mortgages. Last I heard the average time people stay in any one house is 7 years, so they could certainly shrink by 1/2+ in ten years.

[CosmicCowboy]

It sucks, but the whole process of fixed 30 year mortgages should be examined. Qualifying people on current income and then stuffing them in a mortgage with little or no money down or equity is nuts. The bottom line really should be "can we repossess this house and sell it for more than they owe us"?

I'm a perfect example. At my age it's a pretty good bet I won't be working in 15 years, yet I'm about to do a 30 year mortgage for a lot of money. At that time I may or may or may not want to make a multi-thousand dollar house payment. I'm still leaving 20% of the current equity in the deal, so technically if my wife and I died tomorrow they could still sell the house and pay the loan off.

[TeyshaBlue]

y'all never get tired of repeatedly spewing right-wing lies, slanders, denials as truth, so I return the favor with The Real Truth.

lol thinkprogress.

[TeyshaBlue]

They could just stop buying new mortgages. Last I heard the average time people stay in any one house is 7 years, so they could certainly shrink by 1/2+ in ten years.

Indeed. Could be a self-limiting issue.

[boutons_deux]

First, F & F must cram down all the toxic mortgages they bought on good faith from banks, etc, that sold toxic shit in bad faith.

[coyotes_geek]

link (http://finance.yahoo.com/blogs/daily-ticker/sen-corker-plan-fannie-freddie-reform-em-business-132829487.html;_ylt=Ajjm53p3WwRsgXiPjOTx3A6iuYdG;_ ylu=X3oDMTNyZ2VtOGtoBG1pdANGUCBUb3AgU3RvcnkgTGVmdA Rwa2cDYjc2NDViZWQtNTAyOC0zMTk5LWFmMzMtZTZjY2JhYWY2 ZDFhBHBvcwMyBHNlYwN0b3Bfc3RvcnkEdmVyA2I2OGYyZWYwLT k0NWEtMTFlMS04ZmU3LTMxMjNiYWY2YmVkZA--;_ylg=X3oDMTFpNzk0NjhtBGludGwDdXMEbGFuZwNlbi11cwRw c3RhaWQDBHBzdGNhdANob21lBHB0A3NlY3Rpb25z;_ylv=3)


Late last year, Sen. Corker introduced a bill, The Residential Mortgage Market Privatization and Standardization Act, designed to "unwind" Fannie Mae and Freddie Mac -- effectively ending the housing market's reliance on government guarantees.


In a nutshell, his plan calls for lowering Fannie Mae and Freddie Mac guarantees on mortgage-backed securities by 10% per year for 10 years.

Zero chance of this getting any attention pre-election, but hopefully next year.........

[Winehole23]

nice catch, CG