Tag Archives: Treasury

The Treasury and the FHFA reached an agreement that will permit Fannie Mae and Freddie Mac to retain additional earnings in excess of the $3 billion capital reserves currently permitted by their PSPAs.

Here is how a divided Congress can come together and solve the current housing market challenges through bipartisan legislation.

Where is the U.S. Economy heading? An industry expert gave insights into the current and future trends that are likely to shape the economy as well as the housing industry.

The Fed, after its latest meeting, upgraded its view on the economy. While echoing the Fed’s sentiments on the economy, here’s what a report from the Treasury said about the housing market.

A Federal Appeals Court in Texas has ruled that the current FHFA Leadership Structure is unconstitutional. Click through for the details of this ruling.

According to a release, the Treasury department has created a list of recommendations to streamline capital markets and address the burdens they are causing.

After Monday’s release of the Treasury report on Core Principals of Financial Regulation, critics are saying the proposed changes will put the economy in great danger. Proponents feel the proper restructuring of regulation is imperative and applaud the Treasury’s report. Take a look at why as the industry reacts.

For four months, the Department of the Treasury, GSEs, and Federal Housing Finance Agency have been in disagreement with Fannie and Freddie investors on where profits should be directed. Though the D.C. Circuit affirmed a lower court’s ruling that actions taken under the FHFA’s conservatorship of the GSEs cannot be challenged in court, the shareholders are now taking matters to the full D.C. Circuit for a rehearing. The FHFA and Treasury are now urging the D.C. Circuit not to modify its original ruling.

Though Freddie Mac’s net income was lower this quarter than last, the GSE will still pay $2.2 billion in dividends to the U.S. Treasury for this quarter, according to its recent financial results report. The agency saw single-family revenues, purchase volumes, and mortgage-related investments all decline for Q1. These declines, according to Freddie Mac CEO Donald Layton, were due to steady interest rates and low market spreads

On Thursday, Treasury Secretary Steven Mnuchin expressed his approval of the Financial CHOICE Act. The act was introduced on Wednesday by Financial Services Committee Chairman Jeb Hensarling as an alternative to the Dodd-Frank act. According to Mnuchin, this Financial CHOICE act and the tax reform plan are the steps in the right direction to strengthen the financial system.