Dem Frontrunners Want to Close The Barn Door

[Nude]

[TJ_98370]

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Democrats say the darndest things!

So now the U.S citizenry / investors are supposed to subsidize the misadventures of greedy flippers!



The regulator for Fannie Mae and Freddie Mac should consider easing a cap on the companies' investment holdings so they can buy more loans in the troubled mortgage market, two leading Democratic senators said on Tuesday.

Such a move would "allow Fannie Mae and Freddie Mac to provide needed stability to the secondary mortgage market," said Sen. Charles Schumer, chairman of a Senate subcommittee on housing.

Fannie and Freddie, the nation's two largest sources of mortgage finance, have limits on their combined $1.4 trillion investment portfolio of mortgages, which generate a large share of their profits. The Office of Federal Housing Enterprise Oversight (OFHEO) imposed the temporary cap on the two home finance companies' investments while they emerge from accounting scandals.

Sen. Christopher Dodd, chairman of the Senate Banking Committee, said in a statement, "It may be appropriate, consistent with safe and sound practices as determined by the regulator, to ease the temporary regulatory cap on Fannie and Freddie's mortgage portfolio."

An OFHEO spokeswoman declined to comment on the statements...
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[Nude]

[uptown]

Politicians trying to get on the news, that's all this is.

Freddie and Fannie have both stated earlier this year that they are interested in "cherry picking" existing investor held mortgages, but not much else.

And $ 1 billion ain't going to go very far in helping.

[aldreth]