Review Mortgage Lenders

Fannie Mae

Fannie Mae-Buster Brown

US R&B Chart #1 Hit in 1960, this song belongs to Buster Brown.

Paulson, Blackstone Said to Back Plan to Free Fannie-Freddie

Mnuchin told the Senate Banking Committee last month that it was his “strong preference” to work with Congress to develop a bipartisan housing-finance overhaul, though he hasn’t ruled out administratively reforming Fannie and Freddie. A Treasury spokeswoman didn’t respond to a request for comment.

According to Moelis, the plan would protect taxpayers while essentially having the secondary mortgage market work the way it does now. That would include the preservation of affordable housing mandates, one of the issues that has tanked previous reform efforts amid disagreements between Republicans who want to kill them and Democrats who believe they’re essential to helping low-income borrowers get loans.

Significant Headwinds

The Moelis proposal and others face significant headwinds to being implemented, said Isaac Boltansky, an analyst with Compass Point Research & Trading.

“This plan relies on more administrative movement than D.C. is currently capable of, at least in the near-term, but their proposals are now part of the reform conversation,” Boltansky said.

Fannie Mae April Report Shows Continued Increase From 2016 Figures

Fannie Mae’s April 2017 monthly summary showed a compound annual growth rate of 1.3 percent for the month, a decrease from the 3.2 percent annualized growth rate shown in March.

The monthly growth rate also reflected a small slowdown for the year to date, which now stands at 1.9 percent over the first four months of 2016. Fannie Mae’s total book of business showed a compound annual growth rate of 1.4 percent for all of 2016, with the best month being September, which reflected a 4.0 percent increase over the same month the previous year.

Fannie Mae's gross mortgage portfolio increased temporarily in April, at a compound annualized rate of 52.5 percent, and is expected to decrease significantly in May, according to Fannie Mae executives. They gave no reason for the temporary blip in the numbers. For the first four months of the year, Fannie Mae’s gross mortgage portfolio is 6.9 percent ahead of where it was for the first four months of last year.

Fannie Mae?

What is the difference between Fannie Mae and Freddie Mac in terms of their purposes and in terms of the assets they hold? Are these two essentially identical?

The main difference is how they came about. Freddie Mac is the result of the S&L bailout during the 80s. Fannie Mae's inception dates back to the time of the New Deal. They both, I believe, operate in a similar fashion.