Geithner sees change for Fannie/Freddie

By Gary Linnell

ProWEB Wire (Industry News)

U.S. Treasury Secretary Timothy Geithner today voiced concerns related to the government's role in subsidizing and supporting the $10.7 trillion housing market.

This announcement comes nearly two years after the government seized Fannie Mae and Freddie Mac in an effort to save them from collapse. They have since received nearly $150 billion in taxpayer bailout money.

Speaking before leaders of the housing industry, Geithner said, "We will not support returning Fannie and Freddie to the role they played before conservatorship -- where they took market share from private competitors while enjoying the perception of government support."