This board is so slow!! WE LOVE TRUMP!!!! WE LOVE TRUMP!!! WE LOVE TRUMP!!!
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WASHINGTON, May 17 (Reuters) - U.S. President Donald Trump said on Friday his administration was looking at alternatives to the conservatorship of mortgage giants Fannie Mae and Freddie Mac.
"Fannie and Freddie can do a lot better than they're doing. ... And that's why I recently directed the Department of Treasury and HUD (Housing and Urban Development) ... to develop a framework for a modern housing finance system," he told a gathering of real estate agents in Washington.
(Reporting by Roberta Rampton; Writing by Doina Chiacu; Editing by David Alexander)
https://finance.yahoo.com/news/trump-says-freeing-fannie-freddie-194414469.html
(Bloomberg) -- President Donald Trump said freeing Fannie Mae and Freddie Mac from government control is a “pretty urgent problem” that his administration plans to work with Congress to address.
Trump, speaking Friday at a conference hosted by the National Association of Realtors, said that the mortgage giants lack competition, that taxpayers remain on the hook for any losses at the companies and that they aren’t being run as well as they could be. He added that his administration is discussing ideas for fixing Fannie and Freddie with “some incredible talent from Wall Street.”
The president’s remarks reflect the White House’s determination to release the companies from conservatorship, something lawmakers and policy makers have failed at for years. In March, the Trump administration released an outline for overhauling the housing-finance system that directed the Treasury Department and the Department of Housing and Urban Development to write plans for reform. The reports are expected to be completed within the coming months.
“It’s really a problem that other than government should be doing,” Trump said Friday. “So we’re looking at different alternatives. We have many geniuses looking at it and we’ll figure something out.”
What to do with Fannie and Freddie, which backstop about $5 trillion of mortgage securities, is the main unresolved issue from the financial crisis more than a decade ago. The companies were taken over in 2008 as the housing market cratered and were sustained by a taxpayer bailout. They have since returned to profitability and paid in dividends to the Treasury $105 billion more than they received.
“The taxpayer’s actually been, in some ways, in many ways repaid from the bailout of Fannie and Freddie,” said Craig Phillips, the departing Treasury official who has led the department’s housing-finance reform efforts, at an event in Virginia on Thursday. “We’ve got to turn the page and fix it to move on.”
While there are many aspects of housing reform that require legislation, administration officials and regulators have signaled they may take action on their own if Congress doesn’t act. Federal Housing Finance Agency director Mark Calabria said last week that he’s fine with releasing the mortgage giants from government control without lawmakers.
In his remarks Friday, Trump said that he will work closely with Congress to pass housing legislation that “welcomes the private sector, competition, protects taxpayers and preserves homeownership for future generations.” But he said his administration would also consider taking other actions on to modernize housing programs and expand affordable housing.
(Updates with Trump comment in the fourth paragraph.)
To contact the reporter on this story: Austin Weinstein in New York at aweins...@bloomberg.net
To contact the editors responsible for this story: Jesse Westbrook at jwest...@bloomberg.net, Gregory Mott
For more articles like this, please visit us at bloomberg.com
©2019 Bloomberg L.P.
Duncan Macleod "Beta"
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Am Freitag, 17. Mai 2019 23:06:23 UTC+2 schrieb skibrian: