Fannie Mae, Freddie Mac: Johnson-Crapo ‘Broadly Works’ – Deutsche Bank

Analysts continue to weigh in on the Johnson-Crapo proposal for Fannie Mae / Federal National Mortgage Assctn Fnni Me (OTCBB:FNMA) and Freddie Mac / Federal Home Loan Mortgage Corp (OTCBB:FMCC) reform and its expected long-term impact on capital markets. The Federal Mortgage Insurance Corporation is still years away even if the proposal does become law, but its impact on bond markets could be felt much sooner. “This bill likely represents the blueprint for US mortgage finance reform,” write Deutsche Bank analysts Steve Abrahams and Chris Helwig in a March 24 report. “The bill is less about ideology than about getting the system…