Feds Seizes Control Of Fannie Mae and Freddie Mac
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The Feds pulled the plug on Freddie Mac and Fannie Mae Sunday taking operational control out of the hands of managers and into the hands of the Federal Government.
The companies that were to big to fail have failed. Now the government will keep them going as a public concern.
“Fannie Mae and Freddie Mac are so large and so interwoven in our financial system that a failure of either of them would cause great turmoil in our financial markets here at home and around the globe,” Paulson said. “This turmoil would directly and negatively impact household wealth: from family budgets, to home values, to savings for college and retirement. A failure would affect the ability of Americans to get home loans, auto loans and other consumer credit and business finance. And a failure would be harmful to economic growth and job creation.”
Paulson refused to say how much capital the government might eventually have to provide, or what the ultimate cost to taxpayers might be.
The companies are likely to need tens of billions of dollars over the next year, but the ultimate cost to taxpayers will largely depend on how and how fast the housing and mortgage markets recover from the current crisis.
U.S. announces takeover of Fannie and Freddie - International Herald Tribune.
Brilliant use of promotion. Here it is being used on Reseda Blvd in Northridge, CA at Meridian Place Apartments! Wow ...
It probably is a really good time to buy real estate - monthly payments are about equal to market rents ...
The part about the inventory is right on but in my area they are mostly low end and beat up ...
I worked for this man, he is a great con man and has done this in more than States then ...
You're right. If you come from Central Jersey (as the Boss and I do), you go to Florida at some ...
Maybe it was kryptonite...
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I couldn't agree more.
The newspaper has always "stuck" it to the real estate agent with rates that were much higher ...
By the way, homeowners trying to get short sale approval should be aware that lenders are comparing the initial loan ...
Ouch! Thankfully I haven't come across anything like that yet. We normally don't have situations like that in ...
well, the guy was here illegally.
serves him right. 
Comment by Aaron on 7 September 2008:
So much for being too big to fail. I think it had to happen though.