Who owns freddie mac and fannie mae

But the government has not actually acted on that warrant. So, Andrew argues, while the government has the right to own the bulk of Fannie and Freddie, it currently does not. Fannie and Freddie are owned, he says, by the people like him who currently hold the stock. For most public companies, Andrew is correct, shareholders are the owners. But Fannie and Freddie are in an unusual situation. When the government bailed them out in addition to getting those warrants , the Treasury Department placed Fannie and Freddie into conservatorship, which gave the government control over the companies.

The government currently is taking all of the profits generated by Fannie and Freddie. For many observers the word "own" seems right. Many media organizations use the term "own. There are a lot of legal questions around the current state of affairs and the terms used to describe it.

One thing we can say without any hesitation or argument we hope! View the discussion thread. Privacy Policy. Skip to main content. News As we look forward, we think it is increasingly likely the debate over the mortgage finance system lasts into Another major lawsuit against the bailouts took the spotlight this week in a New York trial around AIG.

Maurice Hank Greenberg, the former chairman of AIG, sued the government arguing that the bailout of the insurer violated his rights as a private shareholder. US personal finance. This article is more than 7 years old. Is this justice?

How to save the housing market: save Fannie and Freddie Housing relief program threw homeowners into the grinder. Heidi Moore in New York. Wed 1 Oct Reuse this content. I would argue that if either of these companies were to seek money from the government during this Presidential election it would become an explosive issue.

I do not believe that the current Administration could defend its actions in bankrupting both companies or in driving them into insolvency. The whole government approach to financial stabilization, which is now not trusted because bank stocks are plunging, would be called into question.

Time is ticking on the GSE issue because they are totally incapable of meeting their obligations if the country slips into recession — and Mel Watt, the GSE regulator knows it. If Fannie Mae and Freddie Mac seek more money from the government, the lynch pin will have been pulled on the government owned mortgage markets. The little boy will have pulled his finger out of the dyke and housing will be inundated.

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