A World Without Fannie, Freddie?
That was a thought a couple of our panelists had at this week'sBisnow Atlanta Multifamily Summit. Centerline Capital Group's John Beam (snapped at an earlier event) has his doubts. Here's why:
- Total debt market is $2.5 trillion
- Of that, $875B is placed on multifamily
- Of that, $388B was originated by Fannie, Freddie, and HUD.
"Those are big numbers," John says. Agencies going away? "I don't think that's going to happen." Instead, John says he expects Congress to make structural changes to agency lending, ones that will likely increase spreads. (Congress making anything happen seems like a risky bet at the moment.)