Ongoing proposals to expand the mission of Ginnie Mae have recently collided with a controversial Republican proposal to remove both the government-sponsored enterprise and the Federal Housing Authority from the auspices of the U.S. Department of Housing and Urban Development-creating a whirlwind of speculation over the future of the GSE.

Ginnie Mae hopes to be granted a mission expansion as part of its fiscal 2001 budget that will be presented to Congress next month, through two programs. One, called the Community Housing and Investment Fund, would allow Ginnie Mae to purchase its own mortgage-backed securities. The other, the PMI Securitization Program, would give the GSE the ability to securitize conventional loans that Fannie Mae and Freddie Mac do not.

Subscribe Now

Access to a full range of industry content, analysis and expert commentary.

30-Day Free Trial

No credit card required. Access coverage of the securitization marketplace, including breaking news updated throughout the day.