FHFA indicates housing finance reform coming soon

According to a story in Politico, Federal Housing Finance Agency (FHFA) Acting Director Joseph Otting recently told staff to expect a housing finance reform plan from the administration and Treasury Department within the next month. After that, Otting said he expects significant progress to be made within "six to 18 months."

“In the next two to four weeks you’re going to be able to see some communication that comes out of the White House and Treasury that really sets a direction for what the future of housing will be in the U.S. and what the FHFA’s part of that will be,” Otting said at a January 17th staff meeting.

Otting’s remarks, captured in a 30-minute recording, present the fullest picture yet of the Trump administration’s plans for the massive companies, which bolster the housing market by buying mortgages from lenders and selling them as securities to investors, freeing up more money to lend. He pledged significant headway on an overhaul within “six to 18 months.”

CUNA and the state leagues continue to communicate to the Trump administration and Capitol Hill lawmakers the need to ensure that any housing finance reform package preserves credit unions’ access to a viable and competitive secondary mortgage.