from AP:
https://finance.yahoo.com/news/trump-says-wants-government-buy-214700427.html
. . . Trump said the two mortgage companies under government conservatorship, Fannie Mae and Freddie Mac, have $200 billion in cash that will be used to make the purchase.
. . .
Daryl Fairweather, chief economist at the real estate brokerage Redfin. Fairweather estimated the government purchases of mortgage debt could shave 0.25 to 0.5 percentage points off the rate for a 30-year fixed rate mortgage. But the purchases wouldn’t address other factors such as a chronic shortage of homes on the market,
. . .
There is also a risk because Trump would be spending the cash reserves that are supposed to help be a buffer against an economic downturn akin to what happened during the Great Recession. In a sense, Freddie Mac and Fannie Mae could be more vulnerable if anything negative happens to the housing market,
(emphasis added)
Apparently, only timid sissy men worry about risk and woke concepts like reserves in banking and lending. I say full speed ahead, we can always blame Fed Chair Powell if anything goes wrong (sarc)
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