March 22, 2012 |
Of the more than $600,000 that Fannie Mae and Freddie Mac spent sending 90 employees to a convention in October, nearly half was of “questionable value,” according to a government watchdog group. The inspector general of the Federal Housing Finance Agency released a report Thursday that casts a suspicious eye on how Fannie and Freddie used their money for the Mortgage Bankers Assn.'s annual convention in Chicago. In addition to covering employees' costs, the taxpayer-funded housing finance giants shelled out $140,000 on business meals and hosted dinners and another $140,000 to become high-level sponsors (whose benefits include advertisement space, exhibitor plots and admission to luncheons and parties)
March 10, 2012 |
Pay for the top 15 executives at Fannie Mae and Freddie Mac will be cut 24% this year, led by plans to slash the total annual compensation for new chief executives of the housing finance giants to $500,000 from $6 million. Federal regulators issued the pay cuts in the wake of congressional outrage over salaries and bonuses at Fannie and Freddie, which were seized by the government in 2008 and have received about $183 billion in taxpayer money to cover huge losses in their mortgage portfolios.
February 22, 2012 |
The regulator for Fannie Mae and Freddie Mac wants to shrink the seized housing-finance giants gradually and create a new market for mortgage-backed securities to help the private sector. The recommendations came in a new strategic plan for Fannie and Freddie submitted to lawmakers Tuesday by the Federal Housing Finance Agency, which has overseen the companies since they were put into government conservatorship in 2008 to avoid their failure. Fannie and Freddie have almost single-handedly kept the housing finance market afloat in recent years.
February 21, 2012 |
The regulator for Fannie Mae and Freddie Mac wants to gradually shrink the seized housing finance giants and create a new market for mortgage-backed securities to help the private sector to replace them. The recommendations came in a new strategic plan for Fannie and Freddie submitted to lawmakers by the Federal Housing Finance Agency, which has overseen the companies since they were put into government conservatorship in 2008 to avoid their failure. The FHFA is seeking to jump-start stalled efforts in Washington to find an endgame for Fannie and Freddie, which are 80% owned by taxpayers and have received about $183 billion in bailout money.
February 14, 2012 |
You can love or you can hate the recent $25-billion federal-state mortgage foreclosure settlement, but there's no getting around one simple fact: There's a huge, gaping hole right in the middle of it. The hole is that if your home loan has been bought from your lender by Fannie Mae or Freddie Mac, you're not eligible for the mortgage relief encompassed by the deal. Since Fannie and Freddie control well more than half of all outstanding mortgages, this shortcoming looks to be what engineers would call "non-trivial.
February 6, 2012 |
Rep. Barney Frank and two other House Financial Services Committee Democrats on Monday pressed Edward DeMarco, the regulator of seized housing finance giants Fannie Mae and Freddie Mac, to write-down the principal on mortgages of underwater homes. Frank, Michael Capuano and Stephen Lynch, all of Massachusetts, wrote to DeMarco, director of the Federal Housing Finance Agency, saying they supported a push last week by Massachusetts Atty. Gen. Martha Coakley for Fannie and Freddie to reduce the amount owed by struggling homeowners.
January 31, 2012 |
Is Freddie Mac, the taxpayer-owned mortgage company, betting against homeowners? The Treasury Department has launched an investigation into that very question. The probe comes after a report from ProPublica and NPR showing that Freddie has invested billions of dollars betting that U.S. homeowners won't be able to refinance their mortgages at today's lower rates. In essence, Freddie has been hedging its risk by purchasing what's known as "inverse floater" securities -- an investment in homeowners' interest payments.
December 21, 2011 |
California Atty. Gen. Kamala D. Harris is suing Fannie Mae and Freddie Mac to force the mortgage giants to answer questions about their role in California's housing meltdown. In two suits filed Tuesday in San Francisco County Superior Court, Harris seeks to compel the companies to respond to subpoenas from her office that have been ignored so far. Harris is seeking information about the practices by Fannie and Freddie in California as part of her ongoing investigation into the mortgage industry.
November 16, 2011 |
Investigators with the California attorney general's office have subpoenaed information from mortgage titans Fannie Mae and Freddie Mac as part of a wide-ranging inquiry into lending and foreclosure practices in the state. The subpoenas ask the government-controlled finance companies to answer a series of questions about their activities in California, including their roles as landlords who own thousands of foreclosed properties. The attorney general's office is also seeking details of Fannie and Freddie's mortgage-servicing and home-repossession practices, according to a person familiar with the matter.