{"id":387,"date":"2010-08-27T09:58:35","date_gmt":"2010-08-27T14:58:35","guid":{"rendered":"http:\/\/www.nathanhunstad.com\/blog\/?p=387"},"modified":"2010-08-27T10:00:27","modified_gmt":"2010-08-27T15:00:27","slug":"fannie-and-freddie","status":"publish","type":"post","link":"https:\/\/www.nathanhunstad.com\/blog\/2010\/08\/fannie-and-freddie\/","title":{"rendered":"Fannie and Freddie"},"content":{"rendered":"

More financial regulation stuff, prompted by this post<\/a>, and this one from Economix.<\/a> . I agree 100% that Fannie Mae and Freddie Mac should go, that the mortgage interest deduction should be limited or abolished, and that the government should no more meddle in preferring homeownership over renting and vice versa. As we’ve just learned, it’s all well and good as long as things are running along relatively smoothly, but when it fails, it fails catastrophically, and everybody is on the hook.<\/p>\n

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Sadly, it sounds like a gradual phase-out of Fannie and Freddie isn’t going to happen (I am not naive enough to think that there will be major changes to the mortgage interest deduction, so with a bar so low I can’t really be disappointed). This kind of lemon socialism is what the majority of people are really angry about. For the most part, when the government gets overly involved in the broader housing market, it only benefits a few. If there are goals to be sought after, like affordable housing, they can be done via much more targeted, direct subsidies.<\/p>\n

Frankly, I think it would be a good thing if the mortgage market got a little simpler. Too much “innovation” has occurred in the financial markets without truly understanding the consequences. We are starting to understand them now.<\/p>\n","protected":false},"excerpt":{"rendered":"

More financial regulation stuff, prompted by this post, and this one from Economix. . I agree 100% that Fannie Mae and Freddie Mac should go, that the mortgage interest deduction should be limited or abolished, and that the government should no more meddle in preferring homeownership over renting and vice versa. As we’ve just learned,… Continue reading Fannie and Freddie<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[4],"tags":[108],"class_list":["post-387","post","type-post","status-publish","format-standard","hentry","category-politics","tag-finance","entry"],"aioseo_notices":[],"aioseo_head":"\n\t\t\n\t\n\t\n\t\n\t\n\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t