I asked my friend Patrick Duffy, of Housing Chronicles, to weigh in on the possible disappearance of Fannie/Freddie, and here's what he wrote:
I think it's mostly about political posturing; Obama is trying to address it before Boehner and Co. can claim he has no plans to end it.
At the moment, there's simply no private market for residential mortgages, so unless the gov't wants to tank the housing market they'll have to at the very least test the waters very slowly.
Lou Barnes addressed this issue in his latest column (Inman News).
Regards,
Patrick S. Duffy
Principal
MetroIntelligence Real Estate Advisors
Contributing Editor, Builder & Developer
Author, The Housing Chronicles Blog
pduffy@metrointel.com
Phone: 818-584-1848
Toll-Free Phone & Fax: 888-82-DEVELOP (888-823-3835)
Mobile Phone: 310-666-8288
www.metrointel.com
www.housingchronicles.com
Thanks, Patrick!
