Future of Fannie and Freddie has GOP split

Miami /
Apr.April 25, 2011 05:50 PM

The housing crisis is shaking Republicans’ beliefs to the core. According to the AP, though traditionally against government involvement, the GOP hasn’t taken a unified stance against Freddie Mac and Fannie Mae. Freddie and Fannie, federally funded organizations that buy mortgages from lenders to provide more cash for loans, needed $154 billion in taxpayer bailouts and have many calling for private lenders to take on a bigger share of the mortgage market. But shutting down the programs, Republicans fear, could shake the housing industry and in turn, the economy. Rep. Gary Miller said “it would devastate the housing market.” Mortgage bankers and home builders have lobbied in favor of Fannie and Freddie, and the National Association of Realtors, also in favor of the programs, has spent $18 million lobbying in 2011, alone. But others see it as a wasteful program typical of government excess, and the House Financial Services Committee is advancing eight bills to take some power away from Fannie and Freddie. [AP via MSNBC]


Related Articles

arrow_forward_ios
Daily Digest Miami
Related is heading to the river, Soffer eyes Fontainebleau Miami Beach expansion: Daily digest
Related is heading to the river, Soffer eyes Fontainebleau Miami Beach expansion: Daily digest
A house with a real estate agent (Credit: iStock)
New lawsuits raise question of who should pay homebuyer’s agent
New lawsuits raise question of who should pay homebuyer’s agent
NAR CEO Bob Goldberg (left) and Crexi CEO Michael DeGiorgio
NAR inks partnership with Crexi
NAR inks partnership with Crexi
Fannie Mae CEO Hugh R. Frater, and Freddie Mac CEO Donald H. Layton
Fannie Mae and Freddie Mac financing riskier mortgages to indebted homeowners
Fannie Mae and Freddie Mac financing riskier mortgages to indebted homeowners
Home buyers in front of a house (Credit: iStock)
Lenders opening doors to a wider swath of home buyers
Lenders opening doors to a wider swath of home buyers
Is the tax overhaul law impacting real estate?
Is the tax overhaul law impacting real estate?
Is the tax overhaul law impacting real estate?
Brickell Flatiron scores Fannie Mae approval and lowers deposits
Brickell Flatiron scores Fannie Mae approval and lowers deposits
Brickell Flatiron scores Fannie Mae approval and lowers deposits
Class action suit could change real estate commissions
Class action suit could change real estate commissions
Class action suit could change real estate commissions
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...