The Federal Housing Finance Agency said that Fannie and Freddie have leased office space in Bethesda, Md., for the joint securitization venture. And a certificate of formation has been filed with the Delaware secretary of state to create a limited liability company that will be called Common Securitization Solutions LLC.
In addition, an executive recruitment firm has been retained to identify candidates for the positions of chief executive officer and chairman of the board of managers for CSS, the FHFA said Monday.
“The filing of the certificate of formation represents a significant milestone toward accomplishing the goal of building a new secondary mortgage market infrastructure,” said FHFA acting director Edward DeMarco.
Once completed, the common platform will issue Fannie and Freddie MBS and possibly private-label MBS.