(Source: CNBC By: Diana Olick) – For those of you worried that the scheduled expiration of higher loan limits at Fannie Mae, Freddie Mac and the FHA will have a negative effect on the housing market by raising the cost of home ownership, you can be rest assured the chairman of the Federal Reserve is fine with it.“As far as Fannie Mae and Freddie Mac are concerned, there is a tradeoff there between supporting the higher priced homes and weaning the housing finance system off of unusual limits it was put under during the crisis,” Ben Bernanke told a Congressional Committee today.
“I understand the private sector is taking at least a significant number of the jumbo mortgage market but at a higher cost,” Bernanke said.
Source: CNBC By: Diana Olick
Published: Wednesday, 13 Jul 2011 | 3:04 PM ET
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