Cost of the Fannie, Freddie Bailout
Tuesday, October 26, 2010
Cost of the Fannie, Freddie Bailout
The government estimated last week that the bailout of Fannie Mae and Freddie Mac is likely to cost U.S. taxpayers $154 billion. This is more than originally estimated, but less than what the government called a worse-case scenario.
Fannie and Freddie have already withdrawn $135 billion. They are expected to seek another $19 billion by 2013 to offset mortgage crisis losses.
"It cost a lot less than what people feared, largely because the economy has stabilized," Moody's Chief Economist Mark Zandi says.
Source: USAToday, Paul Dividson (10/21/2010)
