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  • Comment Detail

  • Date: 05/05/24
    First Name: James
    Last Name: Perry
    Organization: N/A
    City: N/A
    State: N/A
    Attachment: N/A
    Number: 2024-N-5

  • Comment

    I read that Freddie Mac is requesting permission to buy second mortgages. I'm not tied to any lobbying group and do not work in property or mortgage banking--I'm just a private citizen. But I think this is a terrible idea, and I urge the FHFA to deny Freddie Mac's request. Freddie and its sister government-sponsored entities were created to make owning a house more affordable to the average person. The current proposal does nothing to fulfill that mission. It simply lets people use houses they already own to borrow money. If anything, the proposal goes against Freddie's foundational mission of increasing homeownership: if someone takes out a second mortgage, that person has to spend more on interest and becomes more vulnerable to foreclosure in the event of job loss or other severe financial stress.

    It's simply a bad idea with potentially very bad consequences, and I hope the FHFA understands that and rejects Freddie Mac's request.