Why I Support Reforming the GSEs, Not Eliminating Them

A lot has been said on the subject of Fannie Mae and Freddie Mac. Many speeches have been given, articles written, and op-eds published on the subject of how to resolve the unsustainable conservatorship. Like others with opinions, I have one too.

As background, I worked at Freddie Mac for the better part of a decade in the late 90s/early 2000s, overseeing the company’s Single Family business. I later served as the Assistant Secretary of Housing and Federal Housing Commissioner in the midst of the housing crisis and the nation’s worst recession since the Great Depression. I’ve also worked for lenders large and small – I’ve been involved in this housing finance system from all sides.

Today, I run the Mortgage Bankers Association. We have over 2,000 institutions representing banks, credit unions, community banks, independent mortgage bankers and service providers all involved in financing commercial, multifamily, and residential real estate, both rented and owned. No matter any outcome, our members will finance every property in the nation. I am not saying I own exclusive rights to the correct view, but I am saying my opinion is well informed.

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