Despite this "relief" measure, the GSE regulator has been sharply criticized by lenders because the fee is so steep: 500 basis points for first-time buyers and 700 bps for everyone else.

A basic question is posed: If Fannie and Freddie are earning so much money, why do they need to impose the fee?

As Brown and Reed point out, unless Fannie and Freddie specifically require it, the parties purchasing these loans are under no obligation to provide forbearance to the borrowers.

The deadline for potential competitors to submit their proposals was Sept. 15. However, that was just the first of four phases in the selection process established last year by the FHFA. The enterprises expect the process to take at least another year to complete.

At DOR, formerly known as the Division of Conservatorship, Cave will supervise the conservatorships of Fannie Mae and Freddie Mac...

The calculus is straightforward: With that much capital tied up in equity, it’s difficult to see how the GSEs could generate adequate returns to attract investors.