C.A.R. statement on Treasury proposal to reform Fannie, Freddie

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Sep 05, 2019, 19:42 ET

LOS ANGELES, Sept. 5, 2019 /PRNewswire/ -- Earlier this year, the Trump administration said it would issue a comprehensive proposal to address the 11-year conservatorship of Fannie Mae and Freddie Mac and reform the mortgage finance market as a whole.

The CALIFORNIA ASSOCIATION OF REALTORS^® (C.A.R.) today issued the following statement in response to the U.S. Dept. of Treasury Housing Reform Plan:

"C.A.R. appreciates the administration's efforts to address the conservatorship of Fannie Mae and Freddie Mac. The proposal would ensure a government guarantee in the mortgage market, which is vital to maintaining the 30-year fixed-rate mortgage," said C.A.R. President Jared Martin.

"However, we have concerns that the proposal will harm high-cost areas, such as California, by reducing support for mortgages with higher loan balances. C.A.R. is also concerned about the impact on cities and communities throughout California if support is reduced for vacation homes and mom-and-pop investors.

"We will work with the National Association of REALTORS^®, the administration and California's Congressional delegation to ensure the needs of California's real estate market continue to be met as this proposal moves forward."

Leading the way... ® in California real estate for more than 110 years, the CALIFORNIA ASSOCIATION OF REALTORS^® (www.car.org) is one of the largest state trade organizations in the United States, with more than 200,000 members dedicated to the advancement of professionalism in real estate. C.A.R. is headquartered in Los Angeles.

SOURCE CALIFORNIA ASSOCIATION OF REALTORS