FHLBs Should Play a Larger Role In Reformed Secondary Market
November 8, 2013
Depending on how the Senates housing finance reform legislation comes out in the end, the Federal Home Loan Banks could play an even larger role in helping smaller lenders successfully access the secondary market, Richard Swanson, president and CEO of the Des Moines Bank, said this week. Testifying before the Senate Banking, Housing and Urban Affairs Committee, Swanson said that the secondary mortgage market, as envisioned by S. 1217 by Sens. Bob Corker, R-TN, and Mark Warner, D-VA, would allow the 12 FHLBanks to serve in an expanded role as mortgage aggregators.