'Wind Down' of Fannie, Freddie: 'Positive for Housing'?
By Diana Olick, CNBC Real Estate Reporter
NEW YORK (CNBC) -- As part of its plan to "wind down" mortgage giants Fannie Mae and Freddie Mac, the U.S. Treasury Department is changing the terms of the capital support agreement that kept the two afloat in the first place.
Fannie Mae and Freddie Mac were put under government conservatorship in 2008, in the wake of the housing and mortgage crash.
"With [Friday's] announcement, we are taking the next step toward responsibly winding down Fannie Mae and Freddie Mac, while continuing to support the necessary process of repair and recovery in the housing market," said Michael Stegman, Counselor to the Secretary of the Treasury for Housing Finance Policy in a press release.
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