Overview

• President Trump said on Truth Social in May that he was giving “very serious consideration” to taking the mortgage giants public to unlock hundreds of billions in value.
• Treasury Secretary Scott Bessent indicated that share sales would follow recent tax and trade achievements on the administration’s policy agenda.
• FHFA Director William Pulte confirmed that officials are exploring selling stock without ending the conservatorship to preserve the institutions’ implicit government backstop.
• The U.S. Treasury’s $348 billion senior preferred claim and nearly 80 percent common stock stake could face renegotiation, raising questions over private investor payouts and taxpayer returns.
• Analysts estimate that removing or diluting the explicit government guarantee could lift 30-year mortgage rates by 60 to 90 basis points, and 14 Senate Democrats led by Elizabeth Warren warned the plan could destabilize the market.