Newsroom

July 07, 2016

FHFA updates single security timeline, seeks input

The Federal Housing Finance Agency published a new timeline and is seeking input on the implementation of Common Securitization Platform software this year and the issuance of Single Securities beginning in 2018.

The FHFA asked for public input on the update from interested parties, which can be submitted via its website.

Government-sponsored enterprises Fannie Mae and Freddie Mac would join the single security structure, Common Securitizations Solutions, in implementing the CSP software this year. In 2018, the GSEs and CSS would be able to issue Single Securities through the software.

"This update reflects our ongoing commitment to transparency. It also reflects the outstanding public and industry input and support we have already received and that we look forward to continuing to have as we move toward the goal of launching the CSP," said FHFA Director Mel Watt. "The CSP and the Single Security are ambitious projects that we are confident should improve the overall efficiency and liquidity of the mortgage market and result in tremendous savings to taxpayers."

NAFCU has urged the FHFA to ensure that any existing GSE securities held by credit unions do not lose their marketability upon the introduction of CSP.

NAFCU continues to advocate for housing reform that guarantees access for credit unions to the secondary mortgage market, and fair prices based on loan quality rather than volume.