Fannie Archives

Funding Fannie & Freddie

By Econ70 | 03/10/2014

By the end of this quarter, Fannie and Freddie will have paid the government $203 billion, slightly more than the $187.5 billion they received from the Government in their 2008 bailout. But 2008 was six years ago. Had the government charged shareholders a very reasonable 10% interest on the loan, F&F would owe another $93…

Mortgage Monopoly

By Econ70 | 02/26/2013

During the 1990s, the percentage of new mortgages guaranteed by Fannie and Freddie averaged about 44% and that number rises to about 55% if you add FHA and VA loans. During 2005 and 2006, those numbers fell to historic lows of 38% and 40% respectively. Now, due to a lack of private capital those numbers…

Losing While Winning

By Econ70 | 09/13/2011

After spending so much to save the banks from collapse the government is now suing them for roughly $30 billion! That’s the amount lost by Fannie and Freddie and attributable to the big banks. Even if these suits have merit, this drama has no winners. If the gov’t wins it still loses as banks will…