Mortgage Bankers Association Releases Recommendations on Government's Role in the Secondary Mortgage Market - September 4, 2009

In October of 2008, The Mortgage Bankers Association's brought together a Council on Ensuring Mortgage Liquidity. The below report suggests a framework for government involvement in the single-family and multifamily secondary mortgage markets, with a particular focus on the roles currently played by Fannie Mae and Freddie Mac. While clearly not the only potential framework for the future, the Council’s recommendations represent a clear, concise and workable approach to ensuring liquidity to the mortgage market. The proposed framework carefully balances the government’s ability to ensure liquidity with the need to protect taxpayers from credit and interest rate risks associated with mortgage finance. This and the other Council reports can be found at: www.mortgagebankers.org/CEML.

Please click here to read the report.