As Fannie-Freddie reform gets underway, here are the three big questions for the housing market.
It’s been over a decade in the making, but an overhaul of Fannie and Freddie Mac is finally in the cards.
The acting head of Fannie’s and Freddie’s regulator, the Federal Housing Finance Agency, told employees that he was working with Treasury Secretary Steven Mnuchin to get the two mortgage companies, currently under government control, to “operate independently,” as first reported by MarketWatch earlier in January.
The White House on Tuesday issued a statement saying it will work with Congress.
“The White House expects to announce a framework for the development of a policy for comprehensive housing finance reform shortly. At this time, no decisions have been made on any reform plan. As part of the process, however, the Administration will work with Congress to formulate a plan that fully addresses the risks to taxpayers presented by the current housing finance system and that improves the ability of creditworthy Americans to buy a home,” said White House spokeswoman Lindsay Walters in a statement.
Anything is possible now, from the contours of the future state of housing finance to how quickly it all gets done. So MarketWatch has decided to skip the usual “experts predict” story and instead outline the big questions facing the housing market and Washington now.