Mortgage Finance Reform

The leadership of Landmark Network, Inc. is at the Mortgage Bankers Association’s annual convention in Washington, D.C., and one of the largest conversations happening there as well as within the industry as a whole is the reform of the mortgage finance system.  Twitter is ablaze with housing and mortgage reporters using the #MBA100Annual hashtag, disseminating quotes and information passed on by former congressional staffers at the event, with article after article being published. But what are the expected reforms and when might we see them go into effect?

While no specific date is being bandied about, there does seem to be a strong message that nothing will be agreed upon before the end of Barack Obama’s last term, with some possibility hinging on the outcome of the 2014 elections.  The reality of the situation is that for something as complex as mortgage finance reform, it may well take several different Congresses to pass the varied pieces of legislation that would go into it.

These political complications are a huge stumbling block for any policy changes on such a large scale, according to Ed DeMarco, the acting director of the Federal Housing Finance Agency.  There are so many goals being worked into the conversations about the future of these systems that support for each part may ebb and flow as time goes on. The need for private capital to re-enter the market in order to reduce tax-payers long-term risk is a key point.

HousingWire has a great quote from DeMarco in a recent article, saying "As a nation we should look at this as an opportunity to build a new housing finance system not for the next few years, but a restructuring that could last for decades.”

So when do you think that Congress will pull it together enough to get to work on these sweeping changes? Tweet us @LandmarkAMC or leave a comment below. And in the meantime, come visit us at booth #657 at MBA Annual right now, or come see us at NRMLA's conference Nov. 4-6 in New Orleans!


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