Are there good results from the take-over of Fannie Mae and Freddie Mac?

Do you feel there are positive results from this recent take-over or is this a situation bound for failure in the end?

The failure had already happened with both companies. This will hopefully put some corrective measures in place, and ultimately lead to a positive result.

James did an excellent job spelling out the details of the changes that have recently occured by the Government. These are measures that, along with others, needed to happen to establish a floor in housing prices, and create the potential for more loans to be made...in the near future.

You will see the possibility of positive results in a short period of time...but I would not say the results would be relevant right now. We need several things in motion to help change the psychological thought process of the general public around housing...

If we relied on this one move by the Government to have significant effects, we would wait a long time...and probably never see a positive result.

Fannie Mae and Freddie Mac were a single step...combine them with the following, and we should see some positive measures:
1. Gas prices falling/Oil too
2. Supply of homes coming in check
3. Election soon to be behind us (we will accept whoever and move forward knowing the outcome)
4. Interest rates low
5. $700 Billion Bailout to stimulate more lending, and stop housing prices plummeting
6. Builders not building many homes at all (lowest # since early 1990's)

Pent up demand does exist...once the factors listed above are moving together, then we should see the engine moving in a positive direction...and one of the items that will have corrected the situation will be the takeover of Fannie Mae and Freddie Mac...when this happens, we will all embrace the takeover in a positive light.