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Would Abolishing Fannie and Freddie Stall the Real Estate Recovery?

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By Maria Patterson

No matter how the proposed legislation pans out, clear and consistent communication will be critical to maintaining the rebound in homeownership confidence, says Phillips.

“This must be done with a lot of transparency and with a lot of good communication from beginning to end,” explains Phillips. “If so, I believe this would be a positive or non-event to real estate consumers. If the markets are surprised at various points in time with what’s being done and how it’s being done, then there would be potential for real damage to the housing market and the overall economy.”

Phillips advises real estate brokers and practitioners to stay aware of the proposed legislation in order to keep potentially wary consumers accurately informed. “Awareness is helpful, but the best thing we can do individually is go about doing our jobs every day.”

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