On Wednesday, May 20 the Federal Housing Finance Agency (FHFA), the regulator of Freddie Mac and Fannie Mae, the two government-sponsored enterprises (GSEs), issued a…
We are in the midst of a war between the government, companies, and not-for-profit organizations against the sharp economic downturn caused by the coronavirus pandemic. As a…
4/16/20 – This version of the blog has been updated to reflect that there are policy requirements in the Ginnie Mae program to finance servicer advances.
There is a very…
As I wrote last week, in America’s Housing Finance System in the Pandemic: Ten Stress Points to Watch, several components of the country’s $10 trillion-plus mortgage system…
The coronavirus pandemic, as this is being written, is still on the upswing in the number of reported cases, but has quickly caused a financial and economic crisis. And while…
Last fall, I wrote a blog post entitled “The Freddie Mac G-Fee Discount: Has the Single Security Eliminated It For Good?“. In the article, I described the history of…
“The GSEs should be fully buying mortgages at all times, regardless of the state of the economy or mortgage markets.”
“The GSEs should be countercyclical, buying a small…
Beginning in 2013, the two government-sponsored enterprises, Freddie Mac and Fannie Mae, began to change their business models to transfer to the private sector large amounts…
Credit risk transfer (CRT) has become, in relatively quick order, a core component of the business model of the two Government-Sponsored Enterprises (GSEs), Freddie Mac and…
Freddie Mac and Fannie Mae, the two government sponsored enterprises (GSEs), securitize mortgages they purchase from bank and non-bank lenders. In doing so they sell the…
