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Volume 14 - Number 6

March 21, 2014

Lawmakers, Trade Groups Oppose FHFA Loan Purchase Limits

Lawmakers and industry groups are strongly suggesting that the Federal Housing Finance Agency think twice then forget about its proposal to set GSE conforming purchase limits. The conforming loan limit is currently $417,000 and the high-cost conforming loan limit is $625,500. Last December, the FHFA proposed to establish “loan purchase” limits for Fannie Mae and Freddie Mac which wouldn’t occur until October at the earliest.

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After the November elections, how long will it take for a new Congress and White House to pass GSE reform legislation?

I’m confident a bill will be passed the first year.


2 to 3 years. GSE reform is complicated.


Sadly it won’t happen in a Clinton or Trump first term.


Not in my lifetime.


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