FSR Supports Senate Banking Committee's Housing Reform Goals

The Financial Services Roundtable has applauded the U.S. Senate Banking Committee leadership and the committee staff for their continued efforts to produce and release comprehensive housing finance reform legislation. FSR and its affiliate, the Housing Policy Council, sent a letter to committee Chairman Tim Johnson (D-SD) and Ranking Member Mike Crapo (R-ID) urging the committee to produce bipartisan legislation as soon as possible. "The Financial Services Roundtable and its Housing Policy Council support action on legislation to reform the housing finance market,” said FSR CEO Tim Pawlenty to both Sens. Johnson and Crapo. "We encourage you to continue your very positive efforts to produce bipartisan legislation for the Senate Banking Committee to consider as soon as possible." The Senate Banking Committee leaders said in a joint statement that they are making progress on drafting their bipartisan bill, which would ensure "a level playing field for all lenders and access to credit for all creditworthy homebuyers, no matter where they live." FSR and HPC advocate for the passage of legislation that would reform the secondary mortgage market by gradually winding down Government Sponsored Enterprises Fannie Mae and Freddie Mac. The GSEs would be replaced with a private capital-based secondary mortgage market with a last resort government backstop and overseen by a strong independent federal regulatory agency. This new system would provide protection to taxpayers and make the American Dream of homeownership possible for more Americans.