Himes, Delaney, Carney Statement on Johnson-Crapo Housing Reform Markup
Lawmakers applaud Senate progress on GSE reform, outline principles for Delaney-Carney-Himes proposal Washington, D.C.—Thursday, the Senate Committee on Banking, Housing, & Urban Affairs passed the Johnson-Crapo housing finance reform bill out of committee. The Johnson-Crapo plan uses the Corker-Warner proposal as its base architecture and winds down Fannie Mae and Freddie Mac. Representatives John K. Delaney (MD-6), John Carney (DE- At Large), and Jim Himes (CT-4) have developed a housing finance reform proposal that uses private sector market forces to appropriately price risk while putting the scale and security of a government guarantee behind the program. Under the Delaney-Carney-Himes plan, the holders of mortgage-backed securities would absorb losses of up to 5% of their value, with the remaining 95%…
