David G. Kittle, CMB, chairman-elect of the Mortgage Bankers Association (MBA) says the MBA has assembled a task force of MBA members to examine policy options and issue recommendations for the future of the secondary mortgage market. The Council on Ensuring Mortgage Liquidity will be led by Michael D. Berman, MBA's incoming vice chairman and the president of CWCapital of Needham, Mass.
‘The next 16 months will see a wide ranging policy debate focusing on the recreation and redefinition of the secondary mortgage market and the roles that Fannie, Freddie and the Federal Home Loan Banks will play,’ says Kittle. ‘As the national trade association representing the real estate finance industry, we will bring together some of the sharpest minds in the industry to discuss what that market should look like and make recommendations to policy-makers on the structure for the secondary mortgage market and the [government-sponsored enterprises].’
As its first act, the council announced it would be convening a one-day summit on Nov. 19 in Washington, DC. Titled ‘Ensuring Mortgage Liquidity: A Summit on the Future of the Secondary Mortgage Market and GSEs,’ this meeting will be a forum for the council members to learn from outside experts from the government and academia the root causes of the secondary mortgage market's disintegration, the MBA says.
Following the summit, the council will meet a number of times to discuss options for rebuilding the secondary mortgage market, with the goal of providing formal recommendations to policy-makers in the early spring.