Biden’s FHFA nominee Sandra Thompson has made it clear that the agency can’t end the conservatorships without help from the Departments of Treasury and Justice and, most importantly, Congress itself.
Don Layton believes the new 2022 loan limits will cause home prices to increase even more, but the politicization of the housing-finance system makes it unlikely FHFA will be able to do anything about it.
In her first long-form interview since taking over as FHFA acting director, Sandra Thompson insisted that expanding the GSEs’ books of business won’t make them riskier.
The support of the powerful House Financial Services Committee chair improves the chances that FHFA Acting Director Sandra Thompson’s job becomes permanent. It also casts doubt on the rumored nomination of CRL President Mike Calhoun.
As the first Senate-confirmed head of domestic finance in nearly a decade, the former Fed economist could play a vital role in renegotiating the PSPAs between Treasury and FHFA.
Changes to Fannie’s loan agreements allow the company to more closely monitor compliance with OFAC rules and anti-money laundering and anti-corruption statutes.