The GAO’s fact-filled, even-handed review of the FHLBanks’ role in last spring’s regional banking crisis has been used to justify arguments by both critics and supporters of the banks.
The rating service focuses on the government’s implicit guarantee and the critical role the GSEs play in housing finance and the financial sector more generally. Fannie and Freddie also have healthy earnings.
Smaller lenders, with comparatively smaller declines in volume, saw their market share rise in the first quarter at the expense of large banks and large nonbanks. (Includes two data tables.)
By focusing on refis, FHFA will be able to assess the ability of its title insurance waiver pilot to reduce closing costs with a smaller group of lower-risk loans.
FHLBanks and housing advocates square off over issues, such as the banks’ mission, how they benefit housing finance and, surprisingly, whether they receive a federal subsidy.