The Obama administration is considering a plan to draw private investment back into the mortgage...


The Obama administration is considering a plan to draw private investment back into the mortgage market by having slices of securities sold that wouldn't carry a federal guarantee but would pay higher rates. Officials see it as a step toward reducing the $10.4T U.S. mortgage market's dependence on Fannie Mae (FNMA.OB) and Freddie Mac (FMCC.OB).

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Comments (4)
  • Duude
    , contributor
    Comments (3413) | Send Message
     
    Wow! A step in the right direction. This is so out of character I'll believe it when it actually happens.
    14 Oct 2011, 03:46 PM Reply Like
  • Poor Texan
    , contributor
    Comments (3527) | Send Message
     
    Panicville! Reality is dawning.
    14 Oct 2011, 03:48 PM Reply Like
  • Sittingduck
    , contributor
    Comments (15) | Send Message
     
    Investors have already invested money into Freddie and Fannie and are waiting for a return on investment. Nothing wrong with new ideas but this one screws the people who are already trying to help the situation. Investors cannot invest in everything the Gov. offers to pull out of the hole. Ex: We already pay enought taxes! New programs don't always make situations better.

     

    This idea is not in the right direction unless it allows current shareholders in Freddie and Fannie a slice of the pie that is already cooking. Investors money will not go back into Freddie and Fannie until the Fed rasies interest rates and allows the problem to fix itself along with the dividends being reinstated.

     

    The price of Houses needs to conninue to drop and level out to a reasonable price that people can afford. This all may sound silly, but I am not buying a house and committing myself to many years of payments and working my fingers to the bone just to make excessive $$$$.$$ house payment and $500.00 /month car pymns.
    All for what..... a miserable existence.
    No thanks,
    15 Oct 2011, 04:17 PM Reply Like
  • Marvack
    , contributor
    Comment (1) | Send Message
     
    So do think Obama doesn't get it or is he sly like a fox? If he drops the dividend that FnF are paying to a more reasonable rate (2-3% instead of 10%) they (FnF) will show an immediate profit. The investors will flock back to the stock, their (FnF) value will sky rocket ($7-$10 range), credit markets will unfreeze (banks and other investors are sitting on a boatload of cash), the government's warrants (they own 79.9% of FnF common stock) will escalate in value exponentially and B.O. is a shoe in for re-election. Just asking...
    20 Oct 2011, 12:21 AM Reply Like
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