The Washington Post reports:
The Trump administration released a sweeping plan Thursday that could remake the U.S. housing market, starting with ending more than a decade of government control of two massive companies, Fannie Mae and Freddie Mac, that back half of the nation’s mortgages.
The long-awaited plan from the Treasury Department features nearly 50 proposals, including many technical changes to financial regulations, and is aimed at shrinking the government’s role in the housing market. The cornerstone of the plan would resolve the fates of Fannie Mae and Freddie Mac, which 11 years ago this week were put into government conservatorship during the global financial crisis.
The proposals will “protect taxpayers and help Americans who want to buy a home,” Treasury Secretary Steven Mnuchin said in a statement. “An effective and efficient federal housing finance system will also meaningfully contribute to the continued economic growth under this administration.”
The Trump administration throws its support behind returning Fannie and Freddie to private hands, a policy that marks a long-in-the-making U-turn in Washington that would keep the companies at the center of housing finance for decades to come https://t.co/qxJTK25ZXc
— Nick Timiraos (@NickTimiraos) September 5, 2019