Obama to Preserve Federal Mortgage Role

Tuesday, 16 Aug 2011 10:30 AM

By Newsmax Wires

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink
President Obama and a team of advisers are finalizing a proposal that would keep government involved in the nation's mortgage market, playing a significant role, The Washington Post reports.

The decision comes after meetings with Obama's top economic and housing advisers, who all favor maintaing the government’s role as an insurer of mortgages for most borrowers,  The Post reports.

Fannie Mae and Freddie Mac, the mortgage finance giants owned by the government, could survive in this scenario, although under different names and with new significant constraints, The Post reports.

The White House played down any such plan, but to preserve a major role for the government marks "a big milestone in the effort to craft a new housing policy from the wreckage of the mortgage meltdown and could mean a larger part for Fannie and Freddie than administration officials had signaled," the newspaper said.

According to the Post:

"The government could maintain a substantial role in various ways. These include restructuring Fannie and Freddie as public utilities overseen by a government regulator. The government would no longer guarantee their financial health, as in the past, but would continue to backstop the mortgage-backed securities they issue using loans made by private banks."


© 2014 Newsmax. All rights reserved.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Around the Web
Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Country
Zip Code:
Privacy: We never share your email.
 
Hot Topics
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
Around the Web
Top Stories
You May Also Like

Rep. Chaffetz: Terrorism Must Be Considered in Canada Attack

Wednesday, 22 Oct 2014 20:30 PM

Canadian officials have yet to rule the shooting near the Parliament building Wednesday as an act of terrorism, but U.S. . . .

Man Jumps White House Fence, Causes Lockdown

Wednesday, 22 Oct 2014 19:50 PM

A man jumped the White House fence on Wednesday and was attacked by Secret Service dogs, a Secret Service spokesman said . . .

US Condemns 'Terrorist' Car Attack in Jerusalem

Wednesday, 22 Oct 2014 19:36 PM

The United States on Wednesday condemned what it called a terrorist attack by a Palestinian who rammed his car into pe . . .

Most Commented

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

 
NEWSMAX.COM
America's News Page
©  Newsmax Media, Inc.
All Rights Reserved