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August 27, 2020

Better Markets, Others Press FHFA on GSEs Framework

Better Markets joined several other prominent public interest groups seeking information about the Federal Housing Finance Agency’s proposed capital framework for Fannie Mae and Freddie Mac.
Better Markets President and CEO Dennis Kelleher says Fannie Mae and Freddie Mac play a key role in supporting the U.S. housing market so it’s vital to know about any proposed changes being considered to the two government-sponsored entities or GSEs.
Kelleher notes, however, that the FHFA’s recently proposed capital framework for the GSEs fails to provide the public with sufficient information to evaluate and comment on the proposal, which is why Better Markets has joined other prominent housing and consumer protection advocates and sent FHFA a letter seeking additional information. 
“The first step in evaluating the proposal is to understand the impact it will have on the mortgage market and the stability of the GSEs,” Kelleher says. The joint letter therefore urges the FHFA to provide additional analysis regarding those effects in advance of the comment deadline now set for Aug. 31, which should be extended. As the letter explains, without that data and analysis, ‘it will be extraordinarily difficult for the public to meaningfully comment on the proposed rule.’”


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