(Reuters) – Two U.S. Democratic lawmakers want Fannie Mae and Freddie Mac to relax recently tightened standards for mortgages on new condominiums, saying they could threaten the viability of some developments and slow the housing-market recovery, the Wall Street Journal said.
In March, Fannie Mae said it would no longer guarantee mortgages on condos in buildings where fewer than 70 percent of the units have been sold, up from 51 percent, the paper said. Freddie Mac is due to implement similar policies next month, the paper said.
In a letter to the CEO’s of both companies, Representatives Barney Frank, the chairman of the House Financial Services Committee, and Anthony Weiner warned that a 70 percent sales threshold “may be too onerous” and could lead condo buyers to shun new developments, according to the paper.
The legislators asked the companies to “make appropriate adjustments” to their underwriting standards for condos, the paper added.
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I often wonder who votes for these people. Are they all nuts?
Yes they are nuts. Is that not what happened before ,causing all those foreclosures? It was the Democrats that would not let Congress move on stopping all those easy credit deals before , now they are repeating the same thing over again! The MSM has made the great O into God so nothing the Democrats do is wrong. They would have hung Bush on any of these stupid decisions.
Funny, but as I clicked on this I am listening to Barney on Fox. What an idiot.
Barney Frank is a sleezeball extrodinaire.
http://tiny.cc/9A1ap