Trump May Privatize Fannie Mae & Freddie Mac

[easilyscan 856]

I'll need to research further to decide if privatization would be good or bad, but anytime I hear those 2 entities mentioned, it reminds me of the 2009 meltdown & the role they played.

https://www.backwoodshome.com/the-meltdown-and-the-bailout-why-how-and-what-they-mean/

[BiPolarBear 483]

Let's throw in the US Post Office. 

[easilyscan 856]

5 hours ago, BiPolarBear said:

Let's throw in the US Post Office. 

I'll never forget the time the US postmaster general was testifying before Congress almost begging them to let the USPS discontinue Saturday mail. They said no.

[IGotWorms 4,057]

Must have friends in the biz

[Maximum Overkill 1,738]

Thank God for Trump. The Government and Government restrictions are holding this Country back. 

Pedo Joe and DEI Kamala didn't help the situation 

[WhiteWonder 2,675]

The biggest government heist of all time, thanks to Obummer. 

 

[WhiteWonder 2,675]

7 hours ago, easilyscan said:

I'll need to research further to decide if privatization would be good or bad, but anytime I hear those 2 entities mentioned, it reminds me of the 2009 meltdown & the role they played.

much larger role played by banks and other mortgage lenders giving loans to anyone and everyone and then packaging them over to fannie and freddie. 

[easilyscan 856]

1 hour ago, WhiteWonder said:

much larger role played by banks and other mortgage lenders giving loans to anyone and everyone and then packaging them over to fannie and freddie. 

Those banks and other mortgage lenders were pressured into giving loans to anyone and everyone. No disrespect intended, but did you read the article I included the link to ?

 

[BeenHereBefore 1,451]

I took real estate classes and got certified for that and all you had to do was put up with boring couple hour classes for a few weeks. From the get go I'm like who is the freak or freaks that came up with the terms Fanny Mac and etc. ?

[5-Points 3,385]

16 hours ago, easilyscan said:

I'll need to research further to decide if privatization would be good or bad, but anytime I hear those 2 entities mentioned, it reminds me of the 2009 meltdown & the role they played.

https://www.backwoodshome.com/the-meltdown-and-the-bailout-why-how-and-what-they-mean/

The movie "The Big Short" was all about the real estate crash and why/how it happened. It's pretty good. If you haven't seen it, you should. It's hard to believe a ton of people didn't go to jail behind that sh!t. 

[EternalShinyAndChrome 3,828]

16 hours ago, BiPolarBear said:

Let's throw in the US Post Office. 

I'm pretty sure it's already private, no?  

[WhiteWonder 2,675]

9 hours ago, easilyscan said:

Those banks and other mortgage lenders were pressured into giving loans to anyone and everyone. No disrespect intended, but did you read the article I included the link to ?

 

No. I’ve studied the Fannie and Freddie theft for the past decade or so. 

[edjr 6,578]

16 hours ago, BiPolarBear said:

Let's throw in the US Post Office. 

Please explain why anyone needs to get mail once a day?   twice a week works. 

[WhiteWonder 2,675]

11 hours ago, easilyscan said:

Those banks and other mortgage lenders were pressured into giving loans to anyone and everyone. No disrespect intended, but did you read the article I included the link to ?

 

I clicked on your link. I have read this article many years ago. No disrespect intended but did you read your own link? 

Quote

 

The inevitable result of “easy” mortgages was that developers, conventional lending institutions, and borrowers started having a field day. Developers rushed to build, banks were eager to make loans to both the developers and home buyers, and high-risk borrowers were eager to get in on the “American Dream” of home ownership.

Increased demand in housing made the cost of houses rise faster than ever and also created the illusion that the price of housing had nowhere to go but up and would continue no matter how fast it was risingor how high it got.

Remember I said banks used to hold your mortgage? It’s different, today. Nowadays the institutions originating the loans don’t have to keep them. Banks and other lending institutions were now more willing to grant mortgages when they could quickly get rid of them, along with their risks. This is where the CRA met Fannie and Freddie and disaster came looming.

 

 

There is a lot of greed behind the saga of FNMA and FMCC. Big Banks had no reason not to hand out mortgages to borrowers who probably couldn't afford the home they were purchasing because they could offload those loans. After the crisis, banks and other lenders now face much more strict guidelines for lending. Fannie and Freddie were the scapegoats. They received bailouts during the crisis, but unlike... AIG for example... were never allowed to repay and go back to business as usual. Right before announcing massive profits, the Obama administration enacted the Net Worth Sweep, sending all of their profits to the Treasury and allowing non of it to count towards repaying their bailout. And it wasn't until the very end of Trumps last administration that Fannie and Freddie were allowed to retain some capital with an eye on eventually being released from conservatorship. 

Not to say that Fannie and Freddie hold no blame. There was greed at all levels. But other companies who needed bailing out during this time were allowed to pay back, change their ways and carry on as usual.  The mortgage twins were not allowed to do this because of our government greed. The many billions they could sweep into their coffers was too much to pass up. 

[Dizkneelande 1,085]

They wanted to do this in 2019 but do nothing congress wouldn’t act on it. 

[easilyscan 856]

2 hours ago, WhiteWonder said:

I clicked on your link. I have read this article many years ago. No disrespect intended but did you read your own link? 

Appreciate the reply. Yes, I've read the story many times, & if I gave the impression that I was discounting the role banks played in the meltdown, & blamed it entirely on Fannie and Freddie, that wasn't my intent. You made the point I was trying to make in your reply.

Quote

Big Banks had no reason not to hand out mortgages to borrowers who probably couldn't afford the home they were purchasing because they could offload those loans.

My point being that if Fannie and Freddie weren't available to offload those subprime loans, & the banks actually had to hold them, they probably wouldn't have made them.  

Regards

 

 

 

[easilyscan 856]

5 hours ago, EternalShinyAndChrome said:

I'm pretty sure it's already private, no?  

The United States Postal Service (USPS) is an independent agency of the executive branch of the United States federal government.

https://thehill.com/opinion/congress-blog/3993213-the-imploding-us-postal-service-bailout/

[WhiteWonder 2,675]

1 hour ago, easilyscan said:

Appreciate the reply. Yes, I've read the story many times, & if I gave the impression that I was discounting the role banks played in the meltdown, & blamed it entirely on Fannie and Freddie, that wasn't my intent. You made the point I was trying to make in your reply.

My point being that if Fannie and Freddie weren't available to offload those subprime loans, & the banks actually had to hold them, they probably wouldn't have made them.  

 

 

 

It's the biggest heist in the history of our corrupt government that no one talks about unless or until some big investor like Bill Ackman makes a statement claiming Trump may privatize them. Then it gets attention for a week or so.  If you really dig deep around the timing of the NWS, lawsuits, sealed documents etc... it can only make you sick what our government is capable of. 

I have bought and sold shares many times after the price tanked. I currently hold a sizeable amount purchased leading up to this election. 

But the real tragedy are the people who owned shares prior to the theft, who wound up with massive losses and have been waiting 15 years for justice. There is risk involved with investing, but when that risk comes from the actions of our government, it must feel extra shitty

[easilyscan 856]

12 hours ago, BeenHereBefore said:

From the get go I'm like who is the freak or freaks that came up with the terms Fanny Mac and etc. ?

Barney Frank ?

 

[easilyscan 856]

5 hours ago, WhiteWonder said:

But the real tragedy are the people who owned shares prior to the theft, who wound up with massive losses and have been waiting 15 years for justice. There is risk involved with investing, but when that risk comes from the actions of our government, it must feel extra shitty

I assume you're referring to Federal National Mortgage Association (FNMA) & Federal Home Loan Mortgage Corporation (FMCC) ?

If that's the case, I agree 110%

For one thing, no GSE should be a publicly traded company. Corruption is rampant. That includes our very own Government. Anyone who doesn't realize that is painfully ignorant and if they lost money by believing otherwise, I have zero pity for them.

 

 

[BeenHereBefore 1,451]

5 hours ago, easilyscan said:

Barney Frank ?

 

The only thing gayer would be Fanny Seafoam.

[easilyscan 856]

On 12/31/2024 at 3:43 PM, WhiteWonder said:

I have bought and sold shares many times after the price tanked. I currently hold a sizeable amount purchased leading up to this election. 

Are you smiling today ?

https://finance.yahoo.com/news/fannie-mae-freddie-mac-shares-195711761.html

[WhiteWonder 2,675]

3 hours ago, easilyscan said:

Are you smiling today ?

https://finance.yahoo.com/news/fannie-mae-freddie-mac-shares-195711761.html

Not really. There has always been a  semi deadline for the government to make a decision on fannie and freddie as their current warrants expire in 2028.  they could be extended but it is beneficial for the government to release fannie and freddie and have the share price rise. They have swept many billions into treasury coffers since the net worth sweep was enacted. 

The best outcome was always thought to be attainable under a Trump administration. 

Since they have been on my radar, I've seen their price over $5, $6, $7 at various times, only to be suppressed by negative statements from Obama, really bad court case rulings, etc.   It's been very tradeable over the last 12ish years. 

I hope we are entering the time when the stock price will continue to rise and maybe one day settle in the 30's but I still think anything can happen. 

[BiPolarBear 483]

On 12/31/2024 at 9:17 AM, edjr said:

Please explain why anyone needs to get mail once a day?   twice a week works. 

I don't have a lot of use for the mail myself. All my bills are on auto pay and I went paperless. 

[easilyscan 856]

On 1/7/2025 at 4:34 PM, BiPolarBear said:

I don't have a lot of use for the mail myself. All my bills are on auto pay and I went paperless. 

I'm with you. But there's still a substantial number of people who rely on the mail, so I wouldn't be for eliminating the USPS.  I'd certainly be in favor of dropping mail delivery down to say 4 days a week. Of course that's never going to happen because, in case you missed it, earlier in this thread, I mentioned that sometime within the last 15 years the postmaster general went before Congress and practically begged to allow them to eliminate Saturday delivery, and they said no. Probably because the USPS is an independent agency of the executive branch of the United States federal government & Government never likes to lay off any of their own people. So we the taxpayers, will continue with the current system,  & bail out the USPS pension every couple of years. Business as usual in the US.