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3 Comments on Does Fannie Mae Deserve our Help? What do you think??
Absolutely Not.
In school, fannie mae, freddie mac and ginnie mae were all quasi governmental corporations, backed by the full faith and credit of the federal government. The American people have helped these corporations all along. The question may be: "should we stop" or "when should we stop", but then the next question is: would the market respond with private mortgage insurance or other mechanism to allow households with less than 20% downpayment purchase a home if these mortgage insurance giants did not exist?
James - More responsible should of managed FNMA. Thanks for the blog.