Hold on to your heads

[Tam]

Fanny Mae lost over 2 billion last year and is asking for another 4+ billion dollar bailout. Want to guess what Obama and the dems answer will be?

Mortgage giant Fannie Mae asks government for almost $4.6 billion after posting 4Q loss

By Associated Press, Updated: Wednesday, February 29, 12:40 PM

WASHINGTON — Mortgage giant Fannie Mae said Wednesday that it lost money in the fourth quarter and is asking the federal government for nearly $4.6 billion in aid to cover its deficit.

Washington, D.C.-based Fannie said it lost roughly $2.4 billion in the October-December quarter, stung by declining home prices. Revenue was about $4.5 billion

The government rescued Fannie and sibling company Freddie Mac in September 2008 to cover their losses on soured mortgage loans. Since then, a federal regulator — the Federal Housing Finance Agency — has controlled their financial decisions.

Taxpayers have spent more than $150 billion to prop up Fannie and Freddie, the most expensive bailout of the 2008 financial crisis. The government estimates that figure could top $259 billion to support the companies through 2014 after subtracting dividend payments.

Fannie has received more than $116 billion so far from the Treasury Department, the most expensive bailout of a single company.

Fannie's bailout money totaled roughly $16.4 billion in 2011 after accounting for dividend payments. That's up from about $7.3 billion in 2010 but down from about $32.5 billion in 2009.

Fannie officials say losses have increased in recent quarters for two reasons: Some homeowners are paying less interest after refinancing at historically low mortgage rates; others are defaulting on their mortgages.

 

[Steve]

while I AM OUTRAGED BY HOW INEPT THE GOVERNMENT IS..

this shouldn't have been a surprise..

here is a optional liberal response..

it would cost more for solar powered homeless shelters..

 

[Tam]

Fannie officials say losses have increased in recent quarters for two reasons: Some homeowners are paying less interest after refinancing at historically low mortgage rates; others are defaulting on their mortgages.

President Barack Obama is expected to announce a fresh bid to revive the housing market Wednesday—despite likely congressional opposition—by letting millions of homeowners refinance their mortgages, senior administration officials said.

The plan aims to help borrowers who are current on their mortgages refinance into lower-interest federally insured loans. Borrowers would qualify even if they owe more than their homes are worth or if they have trouble securing a new mortgage from a private lender.