President Obama personally promises to help fix Fannie and Freddie
The political will to produce housing reform in regards to Fannie Mae and Freddie Mac just came straight from the top.
In a speech to students at Knox College in Galesburg, Illinois, President Barack Obama said, "I’m also acting on my own to cut red tape for responsible families who want to get a mortgage, but the bank says no."
"And we’ll work with both parties to turn the page on Fannie Mae and Freddie Mac, and build a housing finance system that’s rock-solid for future generations," he added.
The President delivered those remarks as part of a larger economic speaking tour where he laid out a plan to bolster the fragile economic recovery.
The Washington Post carried the prepared remarks here. However, Obama did not implicity support the PATH proposal — current legislation designed to reform the nation’s housing finance system which recently passed the House Financial Services Committee, paving the way for a full vote in the house.
In his speech, however, the President did say he wanted to create a real estate market that is hedged from bubbles. And he wants to get started now.
"Already, I’ve asked Congress to pass a good, bipartisan idea – one that was championed by Mitt Romney’s economic advisor – to give every homeowner the chance to refinance their mortgage and save thousands of dollars a year," he said.
The White House website is currently running the full video.