Fannie and Freddie are ok

Reprinted from Daily Real Estate News July 17, 2008

"Federal Reserve Chairman Ben Bernanke reassured Congress last week that Fannie Mae and Freddie Mac are in “no danger of failing.” The two mortgage giants are "adequately capitalized," Bernanke said. However, "weakness of market confidence is having an effect" on the companies, making it difficult for them to raise capital."We will work our way through these financial storms," Bernanke said."

"He called the depressed housing market the central economic issue and urged Congress to approve legislation helping consumers refinance out of troubled mortgages, set a stronger regulator for mortgage giants Fannie Mae and Freddie Mac, and approve a new Treasury Department plan to bolster the two firms, which back half of U.S. mortgages."