“For more than two years, we have been talking to the GSEs, policymakers and a broad array of stakeholders about the widespread benefits of a fungible, pooled, TBA-eligible GSE securities market. Today’s announcement takes what many told us was an unworkable fantasy and brings it closer to reality.
“The move to a single security will enable the two GSEs to
compete on a more level playing field, and this competition will
be beneficial to both homebuyers and lenders. In addition, it
will be an important piece to help transition the market to
any new future structure by providing a more flexible and
efficient way of trading securities. Director Watt and his team
deserve a lot of credit for moving forward on this critical
initiative, and we look forward to working with FHFA and the GSEs
on implementation.”
###
The Mortgage Bankers Association (MBA) is the national association representing the real estate finance industry, an industry that employs more than 280,000 people in virtually every community in the country. Headquartered in Washington, D.C., the association works to ensure the continued strength of the nation's residential and commercial real estate markets; to expand homeownership and extend access to affordable housing to all Americans. MBA promotes fair and ethical lending practices and fosters professional excellence among real estate finance employees through a wide range of educational programs and a variety of publications. Its membership of over 2,200 companies includes all elements of real estate finance: mortgage companies, mortgage brokers, commercial banks, thrifts, Wall Street conduits, life insurance companies and others in the mortgage lending field.
