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Monday, August 2, 2010

Ex-Treasury Head: Dismantle Fannie and Freddie

Daily Real Estate News, August 2, 2010

In an op-ed in Friday’s Washington Post, former Treasury Secretary Hank Paulson called for a reduction in government support for homeownership.

His proposals included dismantling and replacing Fannie Mae and Freddie Mac and shrinking the Federal Housing Administration to limit it to serving low-income buyers of low-priced homes.

“The price the government charges this new private-sector entity for its credit guarantee must be high enough to leave room for a robust private-sector mortgage market that serves taxpayers and home owners equally,” Paulson wrote.

Source: Washington Post, Hank Paulson (07/30/2010)

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