A JPMorgan Chase official noted that Fannie Mae and Freddie Mac can complete credit risk transfer deals and nonbanks have options as well, but banks? Not so much...

REITs covet entry into the system because FHLB members are allowed to borrow via low cost advances...

Some players in the market hoped that once the QM patch expired a significant amount of originations would shift from the GSEs to the non-agency market. But those hopes are fading...

The FHFA in September increased the cap on Fannie’s and Freddie’s multifamily lending to $100 billion each through the end of 2020, with at least 37.5% of their business earmarked for affordable housing.

Bloomberg’s GSE bombshell was just one of several potentially controversial proposals to revamp the nation’s financial system.

Still, January production was more than double the volume produced by the two GSEs in the first month of 2019.

Fannie’s average g-fee in the fourth quarter was up as well, but by just one basis point.

For GSE watchers the bottom line boils down to this: Both continue to earn money hand over fist and for now get to keep all their earnings instead of forking it over to the U.S. Treasury in the form of dividends.

Some industry trade groups have an uneasy feeling about the proposal...