Possible Fannie Mae and Freddie Mac Reform In Short
There seems to be a lot more concern buzzing around the proposed reform ideas for Fannie Mae and Freddie Mac.
Thanks to Rob Chrisman, we have a clear and concise list of what the Senate GSE reform is trying to accomplish.
"There seem to be four key components of GSE reform, while at the same time minimizing housing finance disruption and allows the GSEs to build capital," according to Chrisman.
"The devil is in the details, of course, and any moves will take years and years to implement. Here’s an easy list of what they’re trying to accomplish: transferring credit risk, leveling the playing field, maintaining a cash window (providing plenty of avenues of execution and options in selling loans), and the GSEs partnering on the common securitization platform."
If you found yourself trying to catch up on how the Senate is trying to shake up the lending market, Chrisman's four key components is a great starting point. Learn more from Chrisman's latest roundup by clicking the image above.
