It will come to order. Without objection the chair is authorized to declare a ressz of the committee at any time. All members have five legislative days in which to submit extraneous materials to the chair for inclusion in the record. Entitled the future of housing in america. Over sight of the department of housing in urban development. I recognize myself for three and a half minutes to give an Opening Statement. We welcome the 17th secretary of the department of housing and urban development. Dr. Ben carson. For his first appearance before the committee. Welcome sir. In one respect he maybe among the most qualified individuals to ever serve as hud secretary. Why . Because secretary carson was raised by a single mother who had a third grade education. He grew up in poor communities in detroit and boston. Lived in multifamily housing with boarded up windows and doors. Surrounded by sirens. Gangs, and murder. Not only does he understand poverty personally, he understands what it takes t
And freddie mac is in the conservatorship of veneers september 2008 and paulson describe the conservatorship as a timeout. Today fannie and freddie continued to dominate the market approximately 70 percent of the mortgages are back for the federal government while fannie and freddie with the Housing Market experiences a downturn the status quo is not a viable option. The Housing Finance system with two Government Enterprises in conservatorship as not a sustainable solution. Taxpayers today have to much risk with to a bigger role in the Mortgage Market. Those that have released proposals including the i see the day in several coauthors and many others. About what the future system should look like. In the meantime continuing to serve as a conspirator in regulator and as the Federal Home Loan Bank fhfa has undertaken a number of initiatives including those that began prior to the directors 10 year. One significant undertaking is the securitization platform that was originally intended to
And the finance Agency Director mel watt. On the status of the Housing Finance system, fannie mae and freddie mac have been in conservatorship for close to 9 years. In september of 2008, hank paulson famously described the conservatorships as a timeout. Fannie and freddie along with fha continue to dominate the Mortgage Market. 70 of the mortgages are backed by the federal government. Fannie and freddie currently earning profits at the Housing Market experiences a downturn, taxpayers could be on the hook for billions of dollars. The status quo is not a viable option. The Housing Finance system dependent on two governmentsponsored enterprises and perpetual conservatorship is not a sustainable solution. Taxpayers today bear too much risk and the government plays too bigger role in the Mortgage Market. A number of groups release proposals for reform in recent months including the mba, i cba, milliken institute, several coauthors writing jointly for the urban institute and many others. The
System. Fannie mae and freddie mac have been in conservatorship for close to nine years. In september 2008, then treasury secretary hank paulson famously described the conservatorships as a timeout. Today, fannie and freddie along with fha continue to dominate the Mortgage Market. Approximately 70 of the mortgages are backed by the federal government. While fannie and freddie are currently earning profits, if the Housing Market experiences a downturn, taxpayers could again be on the hook for billions of dollars. The status quo is not a viable option. The Housing Finance system depends on two Government Sponsored Enterprises and perpetual conservatorship is not a sustainable solution. Taxpayers today bear too much risk and the government plays too big a role in the Mortgage Market. A number of groups have released proposals for reform in recent months. Including the mba, the icba, the milken institute, several coauthors writing jointly for the urban institute, and many others. The commi
Later in 1965 to combat poverty rebuilding our cities and making housing more affordable by all. Yet by every official measure, poverty and its consequences is as bad as 50 years ago. Poverty rate today is essentially unchanged from when hud was founded. Millions of more americans fall below the poverty mark, including an unbelievable one out of five children. This is shameful. Hud says its mission is to build quality Affordable Homes for all and yet, according to inflation figures, the median price of new homes as doubled and median rents have gone up by more than onethird. In other words, its not just the poor who find the cost of housing beyond their means, its almost everyone. This is unacceptable. To make matters worse, to achieve this unenviable record, hud has spent 1. u dollars and is asking for a 9 budget increase. 1. 6 trillion is more than 13,000 for every household in america, equivalent to the cost of feeding a family of four for an entire year. Meanwhile, one of our great