Article: Fannie Mae, Freddie Mac CEOs Warn on Limits

MARCY GORDON, AP Business Writer
AP Online
04-20-2005
Dateline: WASHINGTON
The heads of embattled mortgage giants Fannie Mae and Freddie Mac told Congress Wednesday that a severe reduction of their multibillion-dollar portfolio holdings could hurt the U.S. housing finance market and cut off billions of dollars from foreign investors that help make housing more affordable for moderate-income Americans.

The government-sponsored companies, long two of the most politically influential in the capital, now face a legislative onslaught that could bring a tighter government hand over them.

Fannie Mae and Freddie Mac, which are the two biggest buyers of home mortgages in the country, have for years ...

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