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.