Fanniegate Fan

Privatize Fannie Mae and Freddie Mac to Access $200B for Administration Priorities while Lowering Mortgage Rates Overview Fannie Mae and Freddie Mac are extremely profitable businesses, with combined annualized profits of $28.4 Billion  (2024Q3  [1]   [2] ).  Historical earnings ratios would indicate a combined valuation of approximately $280 Billion.  The US Treasury controls 80% of the common equity and has a large senior preferred equity position.  Treasury has already made more money through dividends than they invested in the companies, and now stands to make an additional profit of approximately $200 Billion which can be spent on any administration priorities , from border security to starting new cities.  However, accessing this capital will require moving quickly to privatize Fannie Mae and Freddie Mac in order to establish market certainty so that valuations can return to normal and Treasury's equity position can be liquidated progressively ov...