Obama Housing Plan Winds Down Fannie, Freddie

Law360, New York (February 11, 2011, 1:02 PM EST) -- President Barack Obama released his plan Friday to overhaul the nation's housing market, including winding down government-sponsored Fannie Mae and Freddie Mac and making the private sector the primary source for mortgage credit.

The 31-page report, directed to Congress, also contemplates creating stronger consumer protections, increased transparency for investors and targeted support to creditworthy but lower-income families that want to own their home, the U.S. Department of the Treasury said Friday.

Banks and other financial institutions will be required to hold more capital to better weather...
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