Our Perspective on the Enterprise Regulatory Capital Framework: Focus on the Countercyclical Features

Urban Institute, Nov. 29, 2021–Laurie Goodman, Jun Zhu, Edward Golding
The authors recommend the Federal Housing Finance Agency reconsider the Fannie Mae/Freddie Mac countercyclical adjustment, as this could result in the GSEs writing less new business, especially for first-time homebuyers and underserved borrowers, if home price appreciation continues.
https://www.urban.org/research/publication/our-perspective-enterprise-regulatory-capital-framework-focus-countercyclical-features