Comments on: CAP’s Faulty Fannie/Freddie Facts http://blog.heritage.org/2008/10/03/caps-faulty-fanniefreddie-facts/ Fri, 10 Feb 2012 22:29:33 +0000 hourly 1 http://wordpress.org/?v=3.3 By: Morning Bell: The Left’s Official News Service | The Foundry: Conservative Policy News. http://blog.heritage.org/2008/10/03/caps-faulty-fanniefreddie-facts/#comment-80650 Morning Bell: The Left’s Official News Service | The Foundry: Conservative Policy News. Tue, 12 Jan 2010 21:35:12 +0000 http://www.foundry.org/2008/10/03/caps-faulty-fanniefreddie-facts/#comment-80650 [...] So, according to Goldstein and Hall, Fannie and Freddie are innocent in the subprime mess because it was private banks that securitized most subprime loans during the height of the boom. But this Disney version of the truth leaves one huge question unanswered: Who bought all those subprime securities from the investment banks who were securitizing them? You will not learn this in Goldstein and Hall’s hackjob, but according to the Washington Post, at the height of the subprime boom Fannie Mae and Freddie Mac purchased 44% of the entire subprime s.... [...] [...] So, according to Goldstein and Hall, Fannie and Freddie are innocent in the subprime mess because it was private banks that securitized most subprime loans during the height of the boom. But this Disney version of the truth leaves one huge question unanswered: Who bought all those subprime securities from the investment banks who were securitizing them? You will not learn this in Goldstein and Hall’s hackjob, but according to the Washington Post, at the height of the subprime boom Fannie Mae and Freddie Mac purchased 44% of the entire subprime s…. [...]

]]> By: Robert Grant, San Jo http://blog.heritage.org/2008/10/03/caps-faulty-fanniefreddie-facts/#comment-9162 Robert Grant, San Jo Sun, 16 Nov 2008 21:54:21 +0000 http://www.foundry.org/2008/10/03/caps-faulty-fanniefreddie-facts/#comment-9162 But the question is, "Why shouldn't Fannie or Freddie be allowed to participate in the purchase of loans just as any other private lender (Fannie and Freddie are mostly private) should be?" As I understand it, sub-prime loans were never part of the government mandated CAP (Capital Access Program) system. Thus, the decision to participate in sub-prime was a private business decision. A bad one for sure, but not the fault of the government. But the question is, "Why shouldn't Fannie or Freddie be allowed to participate in the purchase of loans just as any other private lender (Fannie and Freddie are mostly private) should be?" As I understand it, sub-prime loans were never part of the government mandated CAP (Capital Access Program) system. Thus, the decision to participate in sub-prime was a private business decision. A bad one for sure, but not the fault of the government.

]]> By: Morning Bell: The Left’s Official News Service http://blog.heritage.org/2008/10/03/caps-faulty-fanniefreddie-facts/#comment-6957 Morning Bell: The Left’s Official News Service Mon, 13 Oct 2008 19:52:18 +0000 http://www.foundry.org/2008/10/03/caps-faulty-fanniefreddie-facts/#comment-6957 [...] So, according to Goldstein and Hill, Fannie and Freddie are innocent in the subprime mess because it was private banks that securitized most subprime loans during the height of the boom. But this Disney version of the truth leaves one huge question unanswered: Who bought all those subprime securities from the investment banks who were securitizing them? You will not learn this in Goldstein and Hill’s hackjob, but according to the Washington Post, at the height of the subprime boom Fannie Mae and Freddie Mac purchased 44% of the entire subprime s.... [...] [...] So, according to Goldstein and Hill, Fannie and Freddie are innocent in the subprime mess because it was private banks that securitized most subprime loans during the height of the boom. But this Disney version of the truth leaves one huge question unanswered: Who bought all those subprime securities from the investment banks who were securitizing them? You will not learn this in Goldstein and Hill’s hackjob, but according to the Washington Post, at the height of the subprime boom Fannie Mae and Freddie Mac purchased 44% of the entire subprime s…. [...]

]]> By: Nancy Miller, Toledo http://blog.heritage.org/2008/10/03/caps-faulty-fanniefreddie-facts/#comment-6506 Nancy Miller, Toledo Mon, 06 Oct 2008 06:39:25 +0000 http://www.foundry.org/2008/10/03/caps-faulty-fanniefreddie-facts/#comment-6506 I believe that the hole that the banks are in started much longer ago than anyone talks about. When the variable rate mortgage was offered, I was in the real estate business. It was a very bad idea then and obviously it has caught up with home owners. At that time each point that the mortgage rate went up it meant another $100 a month to the borrower. With all the increases from energy, taxes, cost of sending children to school, cost of automobiles, insurance costs, etc. that $100 just might be the reason that people no longer can pay for their homes. I wonder just how many of those mortgagers the banks sold. I believe that the hole that the banks are in started much longer ago than anyone talks about. When the variable rate mortgage was offered, I was in the real estate business. It was a very bad idea then and obviously it has caught up with home owners. At that time each point that the mortgage rate went up it meant another $100 a month to the borrower.

With all the increases from energy, taxes, cost of sending children to school, cost of automobiles, insurance costs, etc. that $100 just might be the reason that people no longer can pay for their homes.

I wonder just how many of those mortgagers the banks sold.

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