Bipartisan Push to Protect Taxpayers in GSE Privatization

A Legis1 article discusses a House Financial Services Committee hearing examined how credit risk transfer (CRT) programs can protect taxpayers by shifting mortgage risk from Fannie Mae and Freddie Mac to private investors as privatization efforts advance. Lawmakers showed bipartisan support for preserving CRTs, signaling potential momentum for broader housing finance reform. 

Penn IUR Co-Director Susan Wachter weighs in on what safeguards must be embedded in any GSE privatization plan:

In any privatization plan, in any contemplation of privatization, we absolutely should preserve the CRT function. That should be codified in the privatization.