On September 15, the Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises of the House Financial Services Committee held a hearing on the status of Fannie Mae and Freddie Mac and with respect to housing finance reform. Treasury Assistant Secretary for Financial Institutions Michael S. Barr confirmed the Administration’s commitment to delivering a comprehensive proposal for reform of Fannie Mae, Freddie Mac, and the broader housing finance system to Congress by January 2011.
Edward J. DeMarco, Acting Director of the FHFA also called for legislation to restructure and strengthen the nation’s housing finance system and to resolve the Fannie Mae and Freddie Mac conservatorships. Both emphasized the importance of a transition period to avoid further disruptions in the housing finance system that could occur if the GSEs were to suddenly exit the market.