The GSE is trying to gather all the stakeholders of the affordable housing “ecosystem,” including lenders, counselors, local housing agencies, and real estate professionals, under a single umbrella.
Freddie announces a $1.3 billion Seasoned Loans Structured Transaction; Fannie prices a $1 billion REMIC deal; Freddie launches a new product to address aging housing supply; CEO Layton’s last week at Freddie.
The GSEs continue to offload delinquent loans in their mortgage portfolios, bringing the tally of loans sold since 2014 to 117,466 with an unpaid balance of more than $22 billion. Page 9.
Douglas Holtz-Eakin itemized some of the other SIFI-like characteristics of Fannie and Freddie: “They have enormous leverage. I have no idea what the right number is, but it’s beyond any reasonable measure of leverage. And they’re heavily interconnected.”
Although similar to Fannie’s HomeStyle loans, CHOICERenovation is novel in that it can also be used to renovate and repair properties damaged in a natural disaster, or to fund renovations, such as flood barriers or retaining walls, that might help prevent damage from a natural disaster.