A bipartisan group of U.S. senators is putting the final touches on a bill that would liquidate Fannie Mae and Freddie Mac and replace them with a government reinsurer of mortgage securities behind private capital.
Fannie Mae is snatching potential profits away from mortgage lenders as it posts record earnings that are fueling industry concern the government-backed company is regaining its swagger even as lawmakers plot its demise.
U.S. mortgage credit probably will get tighter as federal regulators continue working on new rules to govern housing finance, Mortgage Bankers Association President and Chief Executive Officer David Stevens said today.
Minorities and the working class may find it harder to buy homes under a U.S. plan that would require larger down payments to qualify for lower-cost mortgages, according to lenders, consumer groups and lawmakers.
British lawmakers pushed for three former top executives at HBOS Plc to be banned from working in the financial industry after their “self-delusion” led the lender to require a 28 billion-pound ($42 billion) rescue.