REALTORS oppose use of G Fees to Pay for Highway Bill

 

Stop the Housing Tax for Transportation

On Thursday, October 22, 2015, the House of Representatives Transportation and Infrastructure Committee will begin consideration on the surface transportation reauthorization legislation. One proposal would use Fannie Mae and Freddie Mac’s credit risk guarantee fees (g-fees) to fund transportation programs.

Take action now to prevent Congress from placing an unnecessary long-term burden on American homeowners with a new Transportation Tax. NAR strongly believes that a new tax on homeowners would also prevent Fannie Mae and Freddie Mac from effectively managing their risk. Tell Congress to STOP the Housing Tax for Transportation!

REALTORS oppose use of G Fees to Pay for Highway Bill

As a REALTOR and your constituent, I ask you to oppose any attempt by the House Transportation and Infrastructure Committee to use Fannie Mae and Freddie Mac’s credit risk guarantee fees (g-fees) to fund the surface transportation reauthorization legislation scheduled to be marked-up on Thursday, October 22, 2015.

G-fees are a critical risk management tool used by Fannie Mae and Freddie Mac to protect against losses from faulty loans, and should be used only to manage the companies’ credit risks. I am opposed to the use of g-fees for purposes other than risk management.

Additionally, implementing an extension of the g-fee increase that is unrelated to housing needs could also act to hinder the necessary reforms required of the housing finance system for the foreseeable future.

I understand the need to reauthorize the highway programs and help strengthen our country’s infrastructure. However, I also strongly believe that use of an extended g-fee to fund transportation programs saddles future homeowners with an unnecessary long-term burden, and prevent Fannie Mae and Freddie Mac from effectively managing their risk.

Please oppose the use of Fannie Mae and Freddie Mac’s credit risk guarantee fees (g-fees) to fund transportation programs.