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The FHA says it is working on a plan to merge some of the operations of Fannie Mae (FNMA.OB) and...

The FHA says it is working on a plan to merge some of the operations of Fannie Mae (FNMA.OB) and Freddie Mac (FMCC.OB) in a new venture, separate from the two firms, which would operate a secondary mortgage market infrastructure to be used by Fannie and Freddie. The new firm could either be sold or used "as a foundational element of the mortgage market of the future."
Comments (4)
  • moneyTalksBSWalks
    , contributor
    Comments (193) | Send Message
     
    Yea right. We look forward to see how many years it will actually take for this new entity to actually result in a net cost reduction for the combined expenses of Fannie and Freddie. If history and govt efficiency are any guide, this 3rd entity will become a permanent part of the cost structure in short order AND the combined 3 entities will end up costing more than the current 2 parasites. The taxpayers have no hope in hell of ever recovering the money sunk into 3 money pits -- these 2 and GM and very likely Chrysler too.
    4 Mar 2013, 06:51 PM Reply Like
  • Whitehawk
    , contributor
    Comments (3129) | Send Message
     
    Government nationalism of the mortgage market. Moral hazard never had it so good.
    5 Mar 2013, 11:11 AM Reply Like
  • Joe Eifrid
    , contributor
    Comments (339) | Send Message
     
    To be clear, it is not the FHA, it is the FHFA, the regulator for Fannie and Freddie. The FHA has their own problems to sort out
    4 Mar 2013, 07:16 PM Reply Like
  • insanekender
    , contributor
    Comments (8) | Send Message
     
    Wouldn't this just create a 3rd GSE? I don't see how this would be beneficial.
    4 Mar 2013, 10:24 PM Reply Like
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