To: President Donald Trump

Recapitalize and Release the GSEs

It is time to end the illegal profit sweep and release the GSEs from a debilitating conservatorship. This will allow the GSEs to rebuild capital, protecting taxpayers in the event of a downturn in the housing market, and enabling the GSEs to pursue their affordable housing goals - thus keeping alive the American Dream of Homeownership.

Why is this important?

Since the Great Depression in 1938, the GSEs (Fannie Mae and more recently Freddie Mac) have been providing liquidity in the housing market and enabling Americans to obtain 30-year, reasonably priced, fixed-interest rate mortgages so that they can purchase homes. Homeownership is the mostly likely path for middle class Americans to gain some measure of economic independence. Since 2012, the Treasury (in an illegal money grab) has been confiscating all profits of the privately-owned GSEs. This type of abuse of power should concern all Americans, especially since it destabilizes a main component of our economy - the housing market. Many in government want to eliminate the GSEs and give all their business to their political donors, the Too-Big-To-Fail Banks, making these banks (that caused the 2008 recession) even bigger and more powerful and likely eliminating the 30-year mortgage and the American Dream of Homeownership.