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| Topic: |
Business
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| Number of pages / Number of words: |
13 / 3488 |
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In 2004, these rules were dropped and high-risk loans were again counted toward affordable housing goals.[8]
The intent was that Fannie Mae's enforcement of the underwriting standards they maintained for standard conforming mortgages would also provide safe and stable means of lending to buyers who did not have prime credit...
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As Daniel Mudd, then President and CEO of Fannie Mae, testified in 2007, instead the agency's responsible underwriting requirements drove business into the arms of the private mortgage industry who marketed aggressive products without regard to future consequences: "We also set conservative underwriting standards for loans we finance to ensure the homebuyers can afford their loans over the long term...
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General points of the essay
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