In his article, SFA CEO Michael Bright argues that Freddie Mac’s plan to buy second mortgages poses significant risks to taxpayers and the housing market. He asserts that private sources are already effectively managing second mortgages, and government involvement could drive up home prices and crowd out private investment. Bright concludes that the FHFA should reject Freddie Mac’s proposal to avoid undermining the GSE’s mission and increasing taxpayer burdens.
