Mortgage Professional America forum is the place for positive industry interaction and welcomes your professional and informed opinion.

Investor sues government over Fannie, Freddie profits

Notify me of new replies via email
Mortgage Professional America | 15 Aug 2014, 07:48 AM Agree 0
A hedge fund firm is suing the government for diverting the profits of Fannie Mae and Freddie Mac to the Treasury
  • Steve Owen | | 15 Aug 2014, 09:54 AM Agree 0
    Yeah, I get the Fifth Amendment argument. But, couldn't the government simply say that if they had not bailed out Fannie and Freddie, there would be no profits to take?

    This is the basic problem with the Public-Private set-up. Originally it was socialized risk and private profit. Now, they are mad because it is socialized profit. The only solution to this is to wind down Fannie and Freddie and set up a system of purely private, competitive mortgage financing.
Post a reply