Joseph Murin, the president of the Ginnie Mae, says his agency could fill a gap left by federal programs designed to resolve the housing crisis. All the agency needs is a little help from Congress.
In an interview, Murin said he wants lawmakers to amend his agency's charter so it could securitize any kind of federally insured loan. This would dovetail with plans floated by other agencies to take troubled assets off banks' hands or offer guarantees to lenders that modify loans. By themselves, those plans would leave the government (in the first case) or the banks (in the second) holding the loans. But repackaged into bonds with Ginnie's stamp, the loans could be easily sold to investors around the world.