Trump's Housing Policies: Potential Impact on Mortgage Rates and Market Dynamics

President-elect Donald Trump is expected to attempt the privatization of Fannie Mae and Freddie Mac, which could impact mortgage rates and borrowing costs for Americans. Privatizing these mortgage giants, which guarantee 70% of U.S. mortgages, may lead to higher costs for borrowers, especially those with lower incomes or credit scores. The move could also unsettle investors without government assurances of a bailout in a crisis. While some analysts support privatization for increased market competition, the transition poses significant challenges and risks.