Steve Harris of MIAC Capital Markets: “I guess this means less risk for the agencies and perhaps more for the private sector."

MBA worries that if the GSE patch expires without any corresponding reforms to "preserve access to credit," the residential mortgage market will be disrupted...

How much do mortgage CEOs at private firms earn each year? We’ve been asking around of late and the answers we received offer a wide range... 

Harvard's Don Layton on creating more competition for Fannie and Freddie: “I have not encountered any knowledgeable people who think it could happen quickly."

Where Fannie and Freddie 'lazy' competitors during the preconservatorship years? Opinions may differ, to say the least...

Back in early June, the share price of Fannie/Freddie common was rallying, reaching $3.16 (for the former) and $3.07 for the latter. If you had bought in at those prices, today you’d be looking at losses of 23.1% and 24.7%, respectively.

In a new opinion piece, former Freddie CEO Don Layton argues against having multiple MBS guarantors, a position he’s taken in the past. Layton, who now bides his time at the Harvard Joint Center for Housing Studies, argues the barriers to entering the secondary guarantee business are high, “possibly even insurmountable.”

Fannie and Freddie will report second quarter earnings later this month. It's a safe bet that lower rates will translate into some large hedging marks...

The Trump White House is apparently worried about how GSE reform might screw up the mortgage market, especially around election time. Go figure...

The next step might be to create a limited liability regulated entity (LLRE) which would succeed the GSE. After that, the LLRE (once capital is raised) becomes a new company and the charter is sold to new owners. From what we understand, the FHFA has the legal power to sell the charter...