MBANow: MBA Chairman Rodrigo Lopez, CMB, discusses GSE Reform Proposal
The Mortgage Bankers Association released a new MBANow video on YouTube featuring MBA Chairman Rodrigo Lopez, CMB, who discusses release of a new MBA paper on secondary mortgage market reform.
The video can be accessed at https://www.youtube.com/watch?v=MKRBUkBxDsQ&feature=em-uploademail.
The paper, GSE Reform: Creating a Sustainable, More Vibrant, Secondary Mortgage Market, can be accessed at https://www.mba.org/2017-press-releases/april/mba-offers-detailed-gse-reform-proposal.
“We are into the ninth year of the [Fannie Mae/Freddie Mac] conservatorship,” Lopez said. “This is unsustainable for the real estate finance industry. We need to move forward, and the MBA has offered a paper that really provides a level playing field for all of our members, regardless of size, but also protects the taxpayers. And more importantly, it protects what works today for the GSEs and provides a whole array of options for moving forward and reforming the secondary mortgage market.”
This paper builds off of a January paper by the MBA Task Force for the Future of the Secondary Mortgage Market, GSE Reform: Principles and Guardrails (https://www.mba.org/issues/residential-issues/gse-reform-principles-and-guardrails). Lopez said that paper guides all decisions going forward while offering protections against barriers that could disrupt the secondary mortgage market.
Lopez said MBA hopes that Congress will take up comprehensive secondary market reform this year. “Congress needs to act,” he said. “Fannie [Mae] and Freddie [Mac] have congressional charters, so any changes to what they do requires congressional action. We hope that Congress will begin to have active discussions and hearings during the latter part of 2017 and early 2018. We have been–and will continue–to share our ideas with a whole array of stakeholders and industry regulators as well as folks on Capitol Hill, to continue to work with them and hopefully bring about legislative action.”
For more information about the GSE Reform paper, click http://mba.org/GSEReform.
Other videos in the MBANow series can be viewed at the MBA YouTube channel, https://www.youtube.com/watch?v=Swk2VUJeZFI&feature=em-uploademail. The videos are also available on the MBA Insights landing page, https://www.mba.org/publications/insights/insights-publication##SubscriberID####RND##&PageID=21109.
