From the largest banks to the smallest independents, policymakers want to hear the mortgage industry speak with one voice in the critical efforts to reform the government-sponsored enterprises.
With lawmakers bracing for a major policy undertaking to reform the government-sponsored enterprises, they can take comfort that they don’t need to start from scratch.
The Main Street GSE Reform Coalition offered three principles: creating a capital buffer for Fannie and Freddie, continuing with reforms by their regulator and ending the conservatorship that began in 2008.
The Senate is set to begin teeing up housing finance reform discussions at a Banking Committee hearing on Thursday, but many are skeptical that Congress will be able to succeed where it has failed in the past.
A key question for the future of housing finance is whether large and small lenders will both be able to compete, or will a new system favor Wall Street giants?
Readers chime in on the GSE conservatorships, bitcoin’s future, regulatory relief for regional banks, a recent Supreme Court ruling on debt collection, and more.
As long as Fannie Mae and Freddie Mac exist, they must have adequate capital so taxpayers will never again be compelled to help them meet their financial obligations.
The ICBA backs a plan to recapitalize Fannie and Freddie through retained earnings and public offerings, but other groups see it as a self-interested proposal to help GSE stockholders.
