The Obama Administration delivered a report to Congress that provides a path forward for reforming America’s housing finance market. The Administration’s plan will wind down Fannie Mae and Freddie Mac and shrink the government's current footprint in housing finance on a responsible timeline. The plan also lays out reforms to continue fixing the fundamental flaws in the mortgage market through stronger consumer protection, increased transparency for investors, improved underwriting standards, and other critical measures. Additionally, it will help provide targeted and transparent support to creditworthy but underserved families that want to own their own home, as well as affordable rental options.
Find out more here.
Also on Friday, Treasury Secretary Geithner participated in a question and answer session with Martin Baily, Senior Fellow of Economic Studies, at the Brookings Institution’s forum on “Restructuring the U.S. Residential Mortgage Market.” Watch video of the event here.
[Photo Credit: Brookings, Paul Morse]