Freddie (and Fannie) and the Coming Nightmare on Main Street

Mike SP

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Jun 4, 2024, 1:22:50 PMJun 4

to Fannie and Freddie Preferreds and Commons Message Board

https://www.nationalreview.com/2024/06/freddie-and-fannie-and-the-coming-nightmare-on-main-street/

Snippet

Government-sponsored mortgage companies are growing larger and riskier in service of social policy.

During the financial crisis, the federal government bailed out several financial institutions. But two in particular, Fannie Mae and Freddie Mac, the government-sponsored mortgage giants, stood out. Taxpayers shelled out $191 billion to support them — combined, this was the largest bailout in American history — and for the past decade and a half the two institutions have been under government control.