The government watchdog said federal agencies associated with housing finance have met three of five critical criteria for mitigating the risk they pose to taxpayers.

Even though their businesses depend on Fannie and Freddie, private mortgage insurance providers don’t seem worried about the Trump administration’s efforts to release the GSEs from conservatorship.

FHFA must turn conservatorship directives into regulations before releasing the GSEs from conservatorship, according to former agency director Mark Calabria. But an explicit guarantee is unnecessary, he said.

The Trump administration’s failure to name acting directors for key federal agencies leaves them either under the control of Biden appointees or without a presidentially appointed leader.

Bill Pulte, Trump’s choice to run the FHFA, is a scion of a homebuilding industry giant, but his background is mostly in private equity and philanthropy.

Affordable housing advocates say ending the GSE conservatorships administratively won’t relieve the enterprises from the mission-related responsibilities included in their charters and HERA.

Lenders doubt the changes agreed to by FHFA and Treasury will hasten the end of the conservatorships; they may even delay it.

A report by the non-partisan Congressional Budget Office concludes that Fannie Mae and Freddie Mac are more likely to hold successful public stock offerings now than when Trump first took office in 2020.

Old industry hands like Mike Calhoun of CRL and former FHFA acting Director Ed Demarco say getting the GSEs out of conservatorship might be more complicated than the Trump administration believes.

FHFA and CFPB insiders expect the new administration to make quick changes in agency leadership, a process made easier by Republicans gaining control of the Senate.