Sun, Mar 1, 2015, 6:44 AM EST - U.S. Markets closed

Recent

% | $
Quotes you view appear here for quick access.

Federal National Mortgage Association Message Board

  • wynkwyn wynkwyn Apr 7, 2013 4:22 PM Flag

    If banks, AIG, GM survive through bailout/restructuring, why NOT GSEs?

    Since the start of the recession in 2008, we heard a lot of how big companies like Golden Sach, AIG, GM survived through timely bailout or restructuring and thus were able to turn a new leaf. If that's the case with these companies, why NOT GSEs? Is there any absolute reason or obstacle that must seal the fate of the two GSEs and any previous resolutions or agreements that are absolutely irreversible EVEN when both Enterprises have shown steady profitabilty and vitality?

    Sentiment: Buy

    SortNewest  |  Oldest  |  Most Replied Expand all replies
    • Because AIG et al were and are private entities and their fate should be decided by the shareholders, the management and the market, but not the government, albeit the fact that the latter has injected monies to save their #$%$. GSEs are a different story. And Obama and the politicians have promised the people that FNMA and FMCC would be wound down. I’m aware that expecting politicians keeping their promise is being unrealistic. But you can’t say there is no possibility they would do that.

      • 1 Reply to kylieinmyarms
      • Fannie Mae will never be fully privatized..Why: as the National Association of Home Builders said last week, a "federal backstop" to the mortgage market is needed. No private bank(s) will take the "risk" that FnF do. Instead all RE buyers will require to put at least 20% down and finance at best a 15 year term. That will bring a halt to the RE market so important to our economy. This importance to our economy will be the deciding reason why privatization will never happen. Mark this post....

    • Fannie Mae will never be fully privatized............... as the National Association of Home Builders said last week, a "federal backstop" to the mortgage market is needed. No private bank(s) will take the "risk" that FnF do. Instead all RE buyers will require to put at least 20% down and finance at best a 15 year term. That will bring a halt to the RE market so important to our economy. The issue is the gov't is stealing all the profits and there's no plan in place to have the $117 debt be paid back. So far $38 billion in dividends paid to gov't and much much more when the 2013 1rst quarter numbers are made available around the 1rst week of May. It will take a congressional vote for any change to happen and as things are now they've got a pretty darn nice "cash cow"....

      Sentiment: Hold

 
FNMA.OB
2.16+0.07(+3.35%)Oct 31 3:59 PMEDT

Trending Tickers

i
Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.
PulteGroup, Inc.
NYSEFri, Feb 27, 2015 4:02 PM EST
Herbalife Ltd.
NYSEFri, Feb 27, 2015 4:01 PM EST