Warren Presses Treasury Secretary Bessent on Plans to Reprivatize Fannie Mae and Freddie Mac
“I have been led to the conclusion, however, that FHFA Director Pulte may have no information, insight, or answers on the topic, in part due to his focus on ousting members of the Federal Reserve Board of Governors and certain Democratic leaders.”
Washington, D.C. – U.S. Senator Elizabeth Warren (D-Mass.), Ranking Member of the Senate Banking, Housing, and Urban Affairs Committee, sent a letter to Treasury Secretary Scott Bessent requesting information on the Administration’s plans to reprivatize Fannie Mae and Freddie Mac. Ranking Member Warren’s request came in light of Federal Housing Finance Agency Director William Pulte’s repeated failure to respond to letters or provide answers on the topic.
“Despite the enormous implications for the housing market and taxpayer interest, this reported effort raises questions about which agency will lead the reprivatization process, what the goals of reported reprivatization are, and how the American people’s interests will be protected,” wrote Ranking Member Warren. “Given the state of the nation’s housing crisis, it is prudent to have these discussions outside of the shadows and involve Congress, as the body that is ultimately responsible for implementing necessary changes to the Housing and Economic Recovery Act of 2008, the Safety and Soundness Act of 1992, and other laws that govern the oversight and regulation of the Enterprises.”
The Ranking Member continued: “Few details of the Administration’s plans have been made public. The American public deserves full transparency into this effort: according to a recent poll, 83% of all surveyed voters, including 75% of Republicans, are concerned that privatizing the Enterprises will raise mortgage interest rates.”
The Ranking Member concluded: “It is imperative that an impact assessment of reprivatization be conducted before any plan is established on reprivatization. In addition to economic analyses, any assessment should include robust public input, assessing the role of the Enterprises in today’s market, and carefully accounting for any implications of reprivatization of the Enterprises on the mortgage market and broader economy.”
Ranking Member Warren called for responses to her requests for information no later than October 8, 2025.
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