Market Updates
Roboform Re-do? It's Housing Reform Gone Wild...
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House Financial Services Committee Chairman Jeb Hensarling (R-TX) has introduced legislation to reform the U.S. housing market. The bill is co-sponsored by fellow Republicans Randy Neugebauer of Texas, Scott Garrett of New Jersey and Shelley Moore Capito of West Virginia. The bill comes on the heels of a Senate proposal that has garnered support from both Republicans and Democrats.
Here are some of the highlights from the House bill:
- Unwinding Fannie and Freddie: Under the House bill, Fannie and Freddie would be unwound and eliminated in 5 years.
- National Mortgage Market Utility: The legislation creates the NMMU, a voluntary securitization platform for loan originators, investors, aggregators, and security issuers.
- Role of the NMMU: The NMMU is prohibited under the bill from originating, servicing or guaranteeing any mortgages or mortgage-backed securities.
- Role of the Government: This housing reform proposal offers no government…
John Grant
is the president of the Distressed Property Coalition, a private advocacy effort formed by the top leaders in the residential real estate industry, and dedicated to private market solutions, smaller government, and protecting taxpayers. DPC exists because investors deserve an easier path to buy and sell houses. Investors deserve to shape policies that govern them, not to be subjected to them. Investors deserve better information on current laws and policies. Investors deserve a safe environment to learn more about the industry. DPC is dedicated to providing these services to the residential real estate community. Their content and track record of success in Washington are unprecedented for this industry.
To received Mr. Grant’s policy briefings and newsletter, please visit www.distressedpropertycoalition.com
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