American Mortgage System Federal Government Changes Afoot

The Federal Government and its cohorts Fannie Mae and Freddie Mac could soon start to dilute the control they influence on the

American Mortgage System

Official Report – quote – The thinking is that the government cannot sustain its role in the housing finance system. Federally backed loans make up an outsize share of home purchases – about 90 percent – through Fannie, Freddie and the FHA. Taxpayers have kicked in more than $130 billion to cover Fannie and Freddie losses during the housing crisis, and they could be on the hook for more if the FHA depletes its cash reserves, which are already lower than the level required by law.

Assuming no interim delays the government exit from the housing finance system will take 5 to 7 years to implement!

β€˜In other words do not expect changes soon!’

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