The way I see it Fannie Mae was created following the Great Depression, as was the Securities and Exchange Commission (SEC) to provide fairness, opportunity and stability in the housing finance industry, just like the SEC was created to create fairness and stability in the equities market. To me, Fannie and Freddie are great pillars of American housing. They have provided loan guarantees to lenders who provide home ownership to Americans. To destroy (eliminate) them is like destroying the foundation of a home. The home IS America. Could America be America without Fannie and Freddie? A number of legislators are blaming Fannie and Freddie for the housing crisis that began as early as 2002 and up through 2007 and 2008. In a short period of time, Fannie and Freddie have paid the U.S. Treasury around $132 billion dollars,
and their payments have eased the deficit of the U.S., and have even helped stabilized the Social Security System and Medicare from what I’ve read. When I ffirst purchased Freddie Mac, and later Fannie Mae as an investment, investment in these firms was regarded as conservative, and that is what I wanted. I wanted to be away from the frenzy of equities that were the product of market maker hype. Plus, investing in Fannie and Freddie had a patriotic component to it as well. But now patriotism is going by the wayside if you believe the lawmakers trying to put an end to Fannie and Freddie.