by Jeffery Hayward Executive Vice President, Multifamily Mortgage Business
Last week, the Temporary Credit and Liquidity Program ended, marking an important point in time for Fannie Mae and the country as we move farther away from the housing crisis. The Temporary Credit and Liquidity Program was launched in 2009 by the U.S. Treasury to provide liquidity support for variable rate demand bonds issued by state and local housing finance agencies.
Through this initiative, Fannie Mae provided additional support to HFAs to ensure they maintained their financial condition, which enabled them to continue their critical mission...Read more »
by Li-Ning Huang Senior Manager, Business Strategy, Economic & Strategic Research
The U.S. economy has improved significantly since the Great Recession, and mortgage credit standards are loosening gradually. Nevertheless, the homeownership rate continues to decline and remains currently at the lowest level since 1990. This situation has prompted policymakers, regulators, and industry participants to examine the appropriateness of credit standards and the availability of mortgage credit for American consumers.
Credit overlays, referring to stricter mortgage approval standards that lenders place above the guidelines set by investors (such as the GSEs), are a potential and often cited factor impacting consumers’ access to mortgage credit...Read more »