New Treasury Secretary Janet Yellen has yet to pick who will lead housing policy and GSE reform in the Biden administration. However, liberal think tanks may be a good place to look.
Newly installed SBC Chair Sherrod Brown lambasted FHFA for ignoring the spirit of the CARES Act by allowing Fannie Mae and Freddie Mac to sell nonperforming and reperforming loans during the pandemic.
The amended preferred stock purchase agreement provides Treasury with a liquidation preference, which undermines the GSEs’ ability to afford an exit from conservatorship.
Mortgage insurers have endorsed the proposed guidelines, even arguing the process should be made more transparent and objective. However, Quicken believes it will stifle innovation by the GSEs.
Four and a half years after the OIG recommended that FHFA notify GSE directors of supervisory concerns, the agency continues to notify Fannie and Freddie management instead.
The FHFA is looking for stakeholder views on the risks faced by the GSEs and the supervisory and regulatory framework necessary to meet these challenges.
RSS