Freddie Mac and Fannie Mae Chair Bill Pulte discusses the state of the housing market under President Donald Trump during an appearance on “Mornings with Maria.”
President Donald Trump on Wednesday said he was giving “serious consideration” to bringing government-sponsored mortgage giants Fannie Mae and Freddie Mac public.
In a Truth Social post, Trump said he would speak with Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick and Federal Housing Finance Director William Pulte about doing so.
“Fannie Mae and Freddie Mac are doing very well, throwing off a lot of CASH, and the time would seem to be right. Stay tuned!” he wrote.
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President Donald Trump on Wednesday said he was considering making Fannie Mae and Freddie Mac public. (Kevin Dietsch/Getty Images)
The move would be a massive one for the housing market, which backs trillions of dollars in mortgages.
Fannie Mae and Freddie Mac have been under federal control since the 2008 financial crisis, and attempts to release them have been unsuccessful, the Wall Street Journal reported.
Skeptics have warned that privatizing both could drive away buyers of mortgage-backed securities and lead to higher mortgage rates if not done carefully, the news report said.
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In February, Bessent said the release of Fannie and Freddie from government control would depend on mortgage rate implications.
“The priority for a Fannie and Freddie release, the most important metric that I’m looking at, is any study or hint that mortgage rates would go up,” he told Bloomberg.
Corcoran Group founder Barbara Corcoran argues that a massive mortgage rate drop would be “tremendous” for the markets during her appearance on “Cavuto: Coast to Coast.”
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The Trump administration has considered issuing an executive order on housing that could include directing departments to study the privatization of Fannie and Freddie, the Journal reported.
