There has been a series of Congressional hearings and there are two which point to some serious trouble at our never ending financial black holes, Freddie Mac, Fannie Mae and the FHA.
Firstly, Fannie & Freddie might require even more money, even though they have received $96 Billion in bail out cash. Total losses to date from these two is $196 billion.
Their books are still bleeding red as foreclosures rise and homeowners — even the highest-quality borrowers — fall behind on their mortgage payments. Several crucial positions remain vacant, and Mr. DeMarco said the agencies are worried about losing workers because of the uncertainties surrounding their fate.
Right now, 3.1 percent of Freddie Mac loans are seriously delinquent, and Fannie’s seriously delinquency rates is an even higher 4.2 percent, Mr. DeMarco testified. And as unemployment nears 10 percent and homeowners struggle to persuade lenders to refinance their mortgages, delinquency rates are rising.
Fannie and Freddie now manage a stable of nearly 100,000 foreclosed properties, whose numbers are almost certain to grow.
Onto the FHA. Guess what, the FHA may need a bail out. They already have $54 billion in losses they cannot absorb. Gets Better. Ed Pinto testified (large pdf), that the FHA has a long history of fraud and has added thousands of new lenders in the last two years, which are basically not vetted.
I suggest reading the entire testimony, it's loaded with figures, charts on the FHA justifying these dire warnings.