Mortgage industry experts zero in on FHFA’s risk-based capital rule as the linchpin for successful housing-finance reform.

The GSEs continue to offload delinquent loans in their mortgage portfolios, bringing the tally of loans sold since 2014 to 117,466 with an unpaid balance of more than $22 billion. Page 9.

Seller repurchases of defective loans dropped to the second-lowest total on record, but Freddie repurchases remained significantly higher than Fannie's. The volume of unresolved claims was up from the fourth quarter.

Industry advocates are complaining that the GSEs are using automation and other technology to dilute the valuation process.

Experts agree the GSEs are systemically important. The question is whether they are SIFIs or SIFMUs or something else.

Fannie's MBS issuance was up significantly from April to May while Freddie posted a smaller monthly gain. Purchase mortgages and refinancing both rose substantially.

Calabria reports to Congress on the outlook for Fannie and Freddie. Then asks for powers like those of the FDIC and other financial regulators, including the authority to issue charters for new GSEs.

Industry insiders disagree on how long it would take for Fannie and Freddie to go public. A Raymond James report says it will take three to four years, while others say it depends on the plan.

The long saga of the Single Security Initiative culminates in what’s supposed to be a more liquid and efficient TBA market as Fannie and Freddie issue their first common securities over the CSP.