Lanterna Rally

Author: United States Congress Senate Banking

Publisher:

Published: 2015-08-05

Total Pages: 84

ISBN-13: 9781332262311

Excerpt from Government-Sponsored Enterprises (Gse's) Interim Housing Goals Performance in 1993 The Committee met at 10:20 a.m., in room SD-538, of the Dirksen Senate Office Building, Senator Donald W. Riegle, Jr. (Chairman of the Committee) presiding. Opening Statement Of Chairman Donald W. Riegle, Jr. The Chairman. The Committee will come to order. Let me welcome all those in attendance this morning, and most especially Secretary Cisneros, who is here with us today. I understand that Nicolas Retsinas, who serves as the Assistant Secretary of Housing, is also going to be with you and I see he has taken a seat at the table. The purpose of our hearing this morning is to focus on how Fannie Mae and Freddie Mac have performed in reaching their interim housing goals. These HUD requirements were established according to the Federal Housing Enterprises' Financial Safety and Soundness Act of 1992, which was a bipartisan effort led by this Committee to ensure that the GSE's - the Government-Sponsored Enterprises - worked to improve access to affordable housing and at the same time, to limit Government risk on potential losses. The goals were prompted in part by concern about whether Freddie Mac and Fannie Mae were sufficiently serving the home financing needs of low- and moderate-income families. Federal law bestows very special benefits upon the GSE's, like exemptions from State and local taxes, a $2.25 billion line of credit with the Treasury Department, and a market perception of an implicit Federal guarantee for more than $1 trillion of their liabilities. These are very valuable benefits, Grovemment-conferred, and last year, I think it's fair to say they helped the GSE's earn profits of $2.7 billion, while purchasing more than half of all new-home mortgages. In return for these privileges, the GSE's charters require them to serve specific public purposes, including providing financing assistance to low- and moderate-income borrowers and borrowers in central cities and other underserved areas. About the Publisher Forgotten Books publishes hundreds of thousands of rare and classic books. Find more at www.forgottenbooks.com This book is a reproduction of an important historical work. Forgotten Books uses state-of-the-art technology to digitally reconstruct the work, preserving the original format whilst repairing imperfections present in the aged copy. In rare cases, an imperfection in the original, such as a blemish or missing page, may be replicated in our edition. We do, however, repair the vast majority of imperfections successfully; any imperfections that remain are intentionally left to preserve the state of such historical works.