Washington, D.C. – U.S. Senator Catherine Cortez Masto (D-Nev.) released the following statement after voting at a meeting of the Senate Committee on Banking, Housing, and Urban Affairs against advancing the nomination of Mark Calabria as Federal Housing Finance Agency (FHFA) Director.
“As the regulator of Fannie Mae, Freddie Mac, and the Federal Home Loan Banks, the next FHFA Director will play a critical role in how we meet Nevada’s housing needs and ensure access to financing that makes homes affordable for low- and moderate-income families. Mark Calabria called for the repeal of Fannie and Freddie’s affordable housing goals, and endorsed policies that would make it harder for rural residents, women, and people of color to purchase a home. If Dr. Calabria is confirmed, he could put homeownership beyond the reach of thousands of Nevadans and roll back the financing that makes apartments and homes feasible. For that reason, he does not have my vote.”
BACKGROUND:
Mark Calabria is a longtime critic of Fannie Mae and Freddie Mac. In his long career, he has written numerous proposals including calling for the elimination of Fannie Mae and Freddie Mac. Dr. Calabria has also questioned the need for the 30-year federally-guaranteed mortgage, proposed eliminating the affordable housing goals that benefit low-income families, and proposed requiring a minimum down payment of 5 percent and a minimum FICO score of 700 for a mortgage.
In Nevada, the median credit score is 707, 20 points below the national median.
Fannie Mae and Freddie Mac have purchased hundreds of loans for apartment buildings which provide more than a hundred thousand housing units. Fannie and Freddie have also purchased the mortgages of about one-third of Nevada homeowners who have a mortgage.