GSE reform

Releasing the GSEs from government conservatorship is on the agenda for the incoming Trump administration. Doing so could threaten the 30-year fixed rate mortgage.

A Congressional Budget Office report updating one from four years ago finds 60% of its 250 scenarios will result in the Treasury getting fully repaid, up from 12%.

Releasing Fannie Mae and Freddie Mac from conservatorship without legislation is very high risk for the shareholders, writes the chairman of Whalen Global Advisors.

President-elect Trump's victory comes with the support of a Republican Congress. Also in November, many states voted on local property tax matters.

The group is calling for the Trump administration to preserve certain features if it picks up where it left off and finishes cutting ties to the Treasury.

Trump's return to the White House is reviving the prospect of preferred stockholders getting some money back after the U.S. took control of the agencies during the 2008 financial crisis to keep the housing market from collapsing.

A former housing regulator confirmed that he anticipates a release from conservatorship would occur if Trump's elected, adding to other signs a plan is brewing.

The plan from the Heritage Foundation, a group the first Trump administration was largely in line with, would shutter CFPB, break up HUD and raise FHA premiums.

Analysts foresee less regulation and a weighty tax cut decision, but aren't confident that the former president will end GSE conservatorship.

Former Federal Housing Finance Agency Director Mark Calabria may return, but analysts told an industry meeting someone else is more likely in line for the role.