eventually we became freddie mac created for the savings-and-loan. to be safe and resilience and boring. with separate markets be each brought liquidity savings and loans and mortgage bankers. but in 1989 the year before i joined freddie mac and then i came in and 1990 but the year before that freddie mac paid off stockholders of the federal home loan banks to say we want to be like fannie mae so the government led us to become a publicly traded company in 1989. negative en -- then things are not boring because the of markets blurred we were critical competitors to compete which was seen as the good thing and then drop for the consumer. that was called a duopoly. and they began competing head to head. that is how we got the queue names to go with the new corporate job. fannie mae was older and historical and storied and freddie mac was smaller a and new were so we with a trend setter to have a lot of quantitative people it was nerdy compared to fannie mae the slogan was to put people into homes they could afford and keep. and to be powerful and more

families, employers, nonprofits, and religious organizations all with lots of paperwork fannie mae and freddie mac finance the vast majority today. >> we're trying to test the variety of solutions the preferences for today's home buyers have changed significantly. >> reporter: they're not only saddled with high loan debt but high rent. but they're starting to get married and have children. >> of course, we see the wedding registries if you're going to spend $250 on a coffee making machine, if that 250 drrs goes to a down payment of your home, at the very least i improve your quality of life. >> reporter: one red flag in the plan is skin in the game if you're crowd funding and then investing, are you investing the home >> why not. >> if i'm going to buy the house, oom going to save the money myself to do so. >> reporter: none were blamed for the last crisis when thousands defaulted on their loans and even walked away because they had nothing to do. >> reporter: skin in the game is a little bit of a confusing conte contest. is it really down payment? would you rather have a lot of money in the bank

charter schools founder discusses her work in education and former vice president of public policy at freddie mac talks about the problems that led to the collapse of the mortgage company in 2008. that is all this weekend on book tv on c-span2. forty-eight hours of non- action, authors and books. television for serious readers. >> they have this idea of where they would and they did a marketing gimmick where they created fictitious brands of cereal because they wanted to [inaudible] they did this whole thing where they made these two cereals captain mccain and obama owes for obama and they were cheeky and funny and perky and they sold them for $40 a box as collector additions and they fed them to the press and the press ate it up. they ended up making $30000 from this cereal. that did not turn the company around. in fact, his mother called him at one point that i don't get it. are you a cereal company now and he didn't know how to answer that question. that was the most depressing thing because technically they were making more money on serial than they were on the business but ultimately one of

in a report by freddie mac and said the number of homes considered affordable for low income families dropped by more than 60% between 2010 and 2016. experts say that's because of a rise in the number of renters who lost their homes in the housing crisis. the number of apartment vacancies in 2009 was at 8%. this year there is a 4% vacancy rate. >>> mitsubishi is issuing a recall for 161,000 vehicles. the recall affects the 2015- 2017 outlander suv, lance sedan and outlander sport. it also includes the 20 includes the 2015 lancer evolution sports sedan. mitsubishi said problems with the electrically lace -- relays can cause engines to stall or overheat. >>> construction of the new google village in san jose could begin in eight years. that's according to a city memo. the project would bring 20,000 employees to downtown san jose and the village would be near bart's future diridon station. google has been buying land near the location. despite challenges, the city set all signs suggest the problem will move forward. >>> amazon received 238 bids for its second headquarters. the proposals

this pilot program has the blessing of fannie mae and freddie mac which finance the vast majority of mortgages today. >> we're trying to test and learn a variety of solutions. the preference for home buyers has changed significantly and there's no silver bullet to solving a problem as hard as how do you find a downpayment. >> millennials are student loan debt and paying high rents which makes saving harder. they're also starting to get married and have children. >> of course, we see the wedding registries. you're going to spend $250 on a coffee making machine. if that $250 goes to a downpayment of your home, at the very least, at the very least, i improve your quality of life. >> would you rather have somebody with a lot of money in the bank after they buy the home and no downpayment or the opposite? we still have a lot of questions and a lot to learn when it comes to the role of downpayment. >> that's why this is just a test program to see not only if the crowd is willing to fund home buying but also if homeowners see that gift for all it's worth. >> well, guess what? you can now ca

this pilot program has the blessing of fannie mae and freddie mac which finance the vast majority of mortgages today. >> we're trying to test and learn a variety of solutions. the preferences for today's homebuyers have changed significantly. and there's no silver bullet to solving a problem that's as hard as how do you find a down payment. >> reporter: millennials are not only saddled with high levels of student loan debt, they're also paying very high rent, which makes saving harder. but they're also starting to get married and have children. >> of course we see the wedding registries. you're going to spend $250 on a coffee making machine? if that $250 goes to a down payment of your home, at the very least, at the very least, i improved your quality of life. >> reporter: one red flag in the plan is skin in the game. if you're crowdfunding the down payment, and then getting a mortgage, are you really invested in the home? in the loan crisis, people walked away from their mortgages because they had nothing to lose. >> if you pay for your closing costs, is it skin in the game? would y

. >>> a new freddie mac survey found that renters thought renting was more affordable than buying a homes have been reported at pretty high in the bay area. rents have not been rising as high as they have been. >>> whole foods and it's new owner are having trouble finding places for new stores. san francisco is one of the problem spots. whole foods would like to open an new store at the city center mall. several people who know about the negotiations say target, the mall's largest tenant doesn't want to share the mall with whole foods fearing competition from the grocery stores new chain. target, bed bath and beyond, and best buy used their legal rights in the lease agreement to limit were amazon can open a wholefoods. target said they are focused on what's best for the company. >>> the stockton airport will keep the name the stockton airport. that decision was made after the board of supervisors received an sharply letter of protest from the director of san francisco international airport. the new name being considered will cause confusion or mistake among the public. stockton airport i

founder discusses her work, and susan gates talks about the problems that led to the collapse of freddie mac in 2008. that's all this weekend on booktv on c-span2. 48 hours of nonfiction authors and books. television for serious readers. .. >> >> who authorized his better self who believed in him. and the executive editor with the charitable trust with politics and policy and then with education and health care and housing with other issues please join me to welcome him to politics & prose. [applause] >> thank you very much for coming mounted is great to see so many familiar faces. i want to pay tribute to one familiar face to my wife who is in the front row. i will set the scene with those amazing technologies there are vast fortunes for a select few many are stuck in poverty in the gap between rich and poor is wide and growing. large corporations and the super rich are exerting tremendous influence on the political process using money and lobbyists to bend policy to the benefit. in a threat to american democracy itself. slavery is of the past african-americans still face discrimination in

this pilot program has the blessing of fannie mae and freddie mac, which the vast majority of mortgages today. >> what we're doing today is trying to test and learn a variety of solutions, because the preferences for today's home buyers have changed significantly. >> reporter: millennials are not only saddled with high levels of student loan debt, they are also paying very high rent, which makes saving harder, but they are also starting to get married and have children. >> of course, we see the wedding registries. you're going to spend $250 on a coffee making machine. if that $250 goes to a down payment of your home, at the very least, at the very least i improve your quality of life. is skin in the game.flag i if you're crowdfunding your down payment and then using a mortgage, are you really invested in the home? >> why not? you can crowd source for everything else, so why not for home ownership? >> if i'm goin a house, i'm going to save the money myself to do so. >> reporter: no down payment loans were blamed when home prices plummeted and thousands defaulted on their loans and even w

this pilot program has the blessing of fannie mae and freddie mac, which the vast majority of mortgages today. >> what we're doing today is trying to test and learn a variety of solutions, because the preferences for today's home buyers have changed significantly. >> reporter: millennials are not only saddled with high levels of student loan debt, they are also paying very high rent, which makes saving harder, but they are also starting to get married and have children. >> of course, we see the wedding registries. you're going to spend $250 on a coffee making machine. if that $250 goes to a down payment of your home, at the very least, at the very least i improve your quality of life. is skin in the game.flag i if you're crowdfunding your down payment and then using a mortgage, are you really invested in the home? >> why not? you can crowd source for everything else, so why not for home ownership? >> if i'm goin a house, i'm going to save the money myself to do so. >> reporter: no down payment loans were blamed when home prices plummeted and thousands defaulted on their loans and even w

founder discusses her work, and susan gates talks about the problems that led to the collapse of freddie mac in 2008. that's all this weekend on booktv on c-span2. 48 hours of nonfiction authors and books. television for serious readers. ..

including fannie mae, freddie mac. i go through mortgage rules, tons of re-- it wasn't just facts.nd so... but most of us were trying to help to the extent we could. and so, you know, we bought bear stearns at the request of the government. they were trying to figure out what to do with tarp. remember, they already passed the tarp bill, ostensibly to buy bad assets. but they called us down, and i-- i think it was columbus day, hank said, you gotta "come down," i said, "i'm not coming." he said, "come down." i said, "i've been working six-- seven days a week for the last six months. i am taking this weekend off." he said, "it's important. everyone else is coming." so we go down, we were-- i think we were in the cash room or li-- there's nine of us lined up. alphabetical. i think it was alphabetical. either by name or by company. and hank is there and geithner and bernanke and sheila bair, and a bunch of others. and they said, "we've been thinking hard, and we've come up with a plan that we think can help save america. and this would take capital off the table as being an issue for b

according to a report by freddie mac, the number of homes considered affordable for low income families fell 60% between 2010 and 2016. experts say it's because of an increase in the number of renters who lost their homes and the housing crisis. the number of apartment vacancies in 2009 was at 8% compared to this year where there is only a 4% vacancy rate. >>> mitsubishi is recalling more than 161,000 vehicles. it affects the 2015 to 2016 outlander suv. the lance sedan and the outlander sport. it also includes the 2015 lancer evolution sports sedan. mitsubishi said problems with the electric relays can cause the engine to stall or overheat. car dealers will fix that part and replace it for free. >>> sears will stop selling products made by the biggest american appliance maker. the department store has ended a relationship with whirlpool because of a pricing dispute. sears said whirlpool has made demands that made it impossible to sell its products at a reasonable price. the companies were partners for more than 100 years. >>> starting this weekend mega millions tickets will cost you two

you can borrow from fannie mae or freddie mac at two and three quarters with leverage. it is positive leverage today for an investor. .% to 10% current yields we could take it public or we could just sell it in -- erik: chunks. >> between palm beach and miami. i am happy to own this asset. i do not see any disruptions. propensity of americans to rent is something millennial's are doing. plus, they are swapped understood debt so i do not see that changing anytime soon. it is almost a 50 year low on homeownership, 62% of people own a home. the millennial's say they will buy a house at 38. they are getting married later so they do not need a house. the 29 year average, it is an average. i am sure it is 24 in the midwest and 36 in manhattan, so depending on where you live, that impacts demand for multifamily. erik: you just said you are selling as much as you are buying. what are you selling? >> multi-. we are calling the portfolio where we have calls for dallas, which has been a strong real estate market. historically, there is no bearish entry in dallas other than money a

a new freddie mac survey finds 76% of millennials in august thought that renting was more affordableng up a home. that is up from 2016. rents as you know are very high here in the bay area. the survey finds that rents across the country are not rising as much as over other years. >>> a go bike station scheduled to be open in friday in oakland is a target of complaints about i some of the neighbors who say they weren't given much notice. ford installed more than 500 bike sharing stations across the bay area. a new one will be open in the oakland neighborhood. it will take over three parking spaces. neighbors say they didn't know about it until the signs went un. ford says over the past year, it held hundreds of public meetings around the bay area, talking about the best locations for the program's 7,000 bicycles. >>> and a two-year-old python snake is up for adoption now at the peninsula humane society. it was taken there after giving south bay bus rides a big scare -- riders a big scare. they spotted it on the 22 bus near the el camino real bus stop in palo alto. animal service offic

former of homes considered affordable housing continues to fall nationwide according to a report by freddie mace number of homes considered affordable for low income families felt more than 60% between 2010 and 2016. experts say it's because of increased the number of renters who lost their homes in the housing crisis. the number of apartment vacancies in 2009 was at 8% compared to this year. it's only a 4% vacancy rate. >>> a san francisco supervisor will introduce legislation to protect some of the cities cultural district from gentrification. the supervisor says this would help the city work with the districts to help preserve their culture by adding more affordable housing and putting a public art. some of the districts included are chinatown, the filipino cultural heritage district and the south of market area. >>> people staying at a homeless camp in the east bay could be evicted tonight. on saturday people living at the camp were given a 72 hour eviction notice. the campus spring up in january at the intersection of martin luther king jr. way and adaline. homeless advocates have been hel

on wednesday susan ward and gates former vice president of public policy at freddie mac will talk about the collapse of the mortgage giant at virginia tech in blacksburg virginia. thursday we had to george mason university in fairfax, virginia, for the fall for the book festival where he will recall his time as a cameraman during the vietnam war. saturday will be in maplewood new jersey at wards bookstore for historian amy nights talking politically motivated murder and the putin regime. on saturday and sunday we will be live at the southern festival of books in nashville featuring jonathan eyed, history professor nancy mclean, radio talkshow host eric erickson, and many other authors. .. for the next hour we will focus on the literary community beginning with nancy rice that goebel on the important role south dakota plays in american history. >> we are in the research and publishing office of the south coast historical society and also the headquarters of the south dakota historical society press. back in the day in 1997 when i started this press , i felt that it was a niche we could f

the freddie mac survey found 60% of renters believe rent ising more affordable.es continue to rise, present prices are holding steady in recent years. flexible was top reason to rent. parents listen up. breaking down which halloween candies are better for your children as we approach trick or treating time. >>> and why do some people find it harder to part with thing as opposed to others? well, we may have the answer. kristen. >> some eagles are stepping up into bigger roles this week affidavit injuries. side lined two key guys. who is filling those roles later in sports? sweet 4k tv, mr. peterson. thanks. i'm pretty psyched. did you get fios too? no, was i supposed to get fios? mr. peterson. fios is a 100% fiber-optic network. it's like it was invented to stream 4k movies and shows. how do you know so much about tv and internet? the internet. right. streaming is only as good as your internet. so get the best internet - with the 100% fiber-optic network - get fios - now just $79.99 per month for fios gigabit connection plus tv and phone. ♪ >>> so how many pumpkin

. >>> a freddie mac survey found that more millennial's prefer renting over buying a home.ial thought renting was more affordable than buying. rents are pretty high in the bay area, but the survey finds rents across the country are not rising as much is they have been. >>> a 2-year-old ball python is now up for adoption at the peninsula human society. it gave bus riders white ace care. they spotted the snake on the 22 bus near a bus stop in palo alto. animal services were called and an officer found the snake slithering loose if you will, climbing onto one of the wall panels of the bus to hide. they allow small pets and carriers to be brought onto buses, but this is the first time a pet has been left behind.>> that's a little scary. [ laughter ] >>> americans say they would be far more productive workers if they had more sleep. the employment website glassdoor conducted a survey which two thirds of respondents said they would be better employees with a little more shut eye. researchers say that flexible work schedules are increasing which can blur the line between when work

. >>> plus, how fannie mae and freddie mac are helping younger people crowd fund a down payment to buyhat's still to come on "the closing bell." alerts -- wouldn't you like one from the market when it might be time to buy or sell? with fidelity's real-time analytics, you'll get clear, actionable alerts about potential investment opportunities in real time. fidelity. open an account today. fidelity. throughout history, the one meal when we come together, break bread, share our day and connect as a family. [ bloop, clicking ] and connect, as a family. just, uh one second voice guy. [ bloop ] huh? hey? i paused it. bam, family time. so how is everyone? find your awesome with xfinity xfi and change the way you wifi. >>> welcome back another strong session and another record setting one on wall street today. the dow adding 113 points to close up at 22,775 as it continues its march toward 23,000 the s&p up 14 points today its eighth straight higher day close in a row first time we've seen a streak like that since the late '90s. nasdaq up. the russell up .25% today. >>> now we have an earning

financial markets and monetary policy, including the reform of the dot-frank act, fannie mae and freddie mac. since both dodd and frank were big proponents of fannie and freddie, these two issue areas go very well together. a norbert also focuses on the best ways to address credit difficulties of two-big-to-fail that too big to fail institutions. institutions.fail of the nellie liang brooking institutions. nellie is also a consultant to international monetary fund and is a member of the congressional budget office's panel of economic advisers. includearch specialties financial stability, credit markets, and the intersection of monetary and financial policy. on the topic of today, she was offices director of the of financial stability, policy, and research, at the federal reserve board. and finally, we have paul kupiec aei.esident scholar at of focus is on issues systemic risk and the impact of regulations on the u.s. economy. he was previously director of and heldat fdic, positions at the imf, jpmorgan and the federal reserve. and he is the organizer of this conference forum, for which we al

this pilot program has the blessing of fannie mae and freddie mac which finance the vast majority oftgages today. >> what we're doing todayed is trying to test and learn a variety of solutions. the preferences for today's home buyers have changed significantly and there's no silver bullet to solving a problem that's a hard as how do you find a down payment. >> reporter: millennials are not only saddled with high levels of student loan debt, they are also paying very high rents which makes saving harder. but they are also starting to get married and have registries. you're going to spend $250 on a coffee making machine? if that $250 goes to a down payment of your home, at the very least, at the very least, improve your quality of life, would you rather have somebody have a lot of money in the bank after they buy the home and no down payment, or the opposite? and so we still have a lot of questions and a lot to learn when it comes to the role of down payment. >> reporter: and that's why this is just a test program to see not only if the crowd is willing to fund home buying, but also if

this pilot program has the blessing of fannie mae and freddie mac, which finance the vast majority ofrtgages today. >> what we're doing today is we're trying to test and learn a variety of solutions. the preference for today's home buyers have changed significantly. and there's no silver bullet to solving a problem that's as hard as, how do you find a down payment? >> millennials are not only saddled with high levels of student loan debt, they're also paying very high rent, which makes saving harder. but they're also starting to get married and have children. >> of course, we see the wedding registries. you're going to spend $250 on a coffee-making machine, if that $250 goes to a down payment of your home, at the very least, at the very least, i improve your quality of life. >> would you rather have somebody have a lot of money in the bank after they buy the home and no down payment or the opposite? and so we still have a lot of questions and a lot to learn when it comes to the role of down payments. >> and that's why this is just a test program to see not only if the crowd is willing

eva moskowitz discusses her work in education, and the former vice president of public policy at freddie mac talks about the problems that led to the collapse of the mortgage company in 2008. that's all this weekend on booktv on c-span2. 48 hours of nonfiction authors and books, television for serious readers. >> the brain is incredibly sophisticated timing device, and i'll give you two examples of that. so in language, for example, if i say two sentences like they gave her cat food or they gave her cat food. so there's two different meanings there, and based on pause. and another example is in music. and music, of course, doesn't make sense. i think music would be less enjoyable in an internallist universe, right? [laughter] because it's already out there. it's sort of the change. and so i give an example and i think now might be a good time if we can play the audio clip. and this audio clip will be of a song, and the challenge to you is to see if you can recognize the song, if it reminds you of anything. i'll explain what it is later. i'll give you guys a clue and a clue that whenever i gi

counties are eligible for mortage relief if their mortage is owned by federal home loan company freddie macmpany is authorized to suspend mortage payments for up to 12 months ... waive the assessment of penalties or late fees against homeowners ... and suspend reporting forbearance or late payments caused by the wildfires. ( darya ) as fire crews gain the upper hand on the north bay fires... evacuation orders are being lifted.( james ) there is some information neighbors need to know before returning to their homes. only people who live in that area are allowed into their neighborhoods. the neighborhoods can be visited between ten- a-m and five p-m. there will be registration locations where you can get a re-entry pass... but you must have a form of identificiation. you also must wear protective clothing and closed- toe shoes. re-entry kits and debris bins will be provided for people who want to search their properties and assess damage. support services will be available in each neighborhood. insurance specialists will also be available to help with documenting and filing claims. ( james )

and at 10 o'clock susan gates former vice president of public policy at freddie mac talks about the problemshat led to the collapse of the mortgage company in 2008. and we wrap up our prime time programming at 11:10 pm eastern with nelson demille. he provides insight into his writing and the underpinnings for his latest novel, in a conversation with former congressman steve israel. that'll happen tonight on c-span2's booktv. here's a look at some authors recently featured on booktv's "after words" our weekly author interview program perform a fox news anchor carlson talked about challenges of women that had been sexually harassed in the workplace. gradually discuss life and political career of newt gingrich. and msnbc contributor toward sites invited thoughts on the conservative movement in america. in the coming weeks on "after words" retired astronaut scott kelly will discuss his record-setting year for the international space station. then jeanette conan will report on the work of her grandfather. manhattan project scientist james brian -- this weekend on "after words" for destination anc

on wednesday susan ward and gates former vice president of public policy at freddie mac will talk about the collapse of the mortgage giant at virginia tech in blacksburg virginia. thursday we had to george mason university in fairfax, virginia, for the fall for the book festival where he will recall his time as a cameraman during the vietnam war. saturday will be in maplewood new jersey at wards bookstore for historian amy ns

on wednesday, susan warden gates former vice president of public policy of freddie mac will talk about the collapse of the mortgage giants. and virginia tech in virginia. thursday, we had to george mason university in fairfax virginia for the book festival. where -- will recall his time as a cameraman during the vietnam war. saturday will be in maplewood new jersey at words bookstore for his during gaming nights talk on politically -- and the putin regime. then we will be in nashville featuring jonathan -- history professor mclean and many others. that if some event that we will be covering this week.many events are open to the public. look for them to air in the near future on booktv on c-span2. >>. [inaudible conversations] >> we are going to get started. first of all i would like to welcome everyone to the book fair pavilion. how many have been at some of the talks that we have had so far? and

this pilot program has the blessing of fannie mae and freddie mac which finances the vast majority of i asked if they had concern that those asking for down payment wouldn't have any skin in the game for purchase. >> the skin in the game is a confusing concept. if you pay for your closing costs is that skin in the game would you rather have someone have a lot of money in the bank they buy the home or no down payment for the opposite we have a lot of questions and a lot to learn when it comes to the role of down payment >> the idea is to link this to wedding and baby registries and in most cases add to the savings you already have which could help you avoid higher interest rates and mortgage insurance more information on this always on-line. cnbc.com back to you guys >> thanks very much, diana we are joined by our own marcus lemonis. he spoke yesterday with governor of puerto rico and today out on relief missions. hey, marcus, what are you seeing down there >> you know, michelle, the thing i'm seeing more than anything else is a broken logistics process. if you are in san juan things a

financial markets, and monetary policy, including reform of the dodd/frank act and of fannie mae and freddie mac. norbert, i wanted to say that since both dodd and frank were big proponents and supporters of fannie and freddie, these two issue areas go very well together. norbert also focuses on the best ways to address credit difficulties of large or too big to fail financial companies, as paul said. and on the issues concerning the role of the federal reserve, as we'll be discussing today. next will be nellie liang, senior fellow at the hutchins center on fiscal and monetary policy at the brookings institution. nellie is also a consultant of the international monetary fund. and is a member of the congressional budget office's panel of economic advisers. her research specialties include financial stability, credit markets and the intersection of monetary and financial policy. just on the topic of today, she was previously director of the office of financial stability policy and research at the federal reserve board. and finally, we'll have paul kupiac, resident scholar at aei, who brings insigh

ashley: 3.85% on 30-year freddie mac. up hair from the week before, but really? still way under 4%.e. ashley: what did we pay? stuart: i paid 12 1/2. you paid. ashley: 16 1/2% 30 years ago. stuart: my how times have changed. liz, factory orders? liz: up 1.3. suggesting that hurricane harvey and irma will not be will not be a drag on robust business spending coming in. stuart: that is fascinating. especially on factory orders, the dow industrials, we have the nasdaq. we have the s&p. there is a long list of them. all of them. all at record highs as we speak. dow 27. s&p four. s&p 18. like this all week, every hour, all week. astonishing. big technology stocks, where are they this morning? apple not going through it. read them, don't weep. >> read them and smile. stuart: read them and smile. that's what we're looking for. they're all up. ups and fedex are down after a report today that amazon's testing a new delivery service. that is taking the market away from fedex and ups, maybe. those two stocks way down. >>> want to get back to my vigorous editorial at the top of the hour. listen

for the last week, freddie mac 30 year fixed-rate down to 3.88%, down a hair from 3.91 last week.t interest rates are low. if you want to get a loan go for it. for many months now. stuart: that is pretty good. should we tell them again what we paid in the old days? 12 1/2%. ashley: 16 1/2%, imagine getting a mortgage. liz: not saying a word. ashley: should have waited. stuart: index of leading economic indicators showed a decline, .2% came in. that's taking the dow down a little bit more. we're off 100 points. still well above 23,000. individual stocks i note for you. ebay made a weak profit forecast for the future. they are down 3%. adobe, big software company of course, they just hit an all-time high. still going higher right there. verizon added more phone subscribers. revenue is up as well and verizon is now up nearly 3%. as for the retail ice age, look at jcpenney. they are revamping fine jewelry department with fine watches and brands like samsung and garmin. the stock is down to 3.48 a scharre. >>> big techs everyone of them down significantly. our next guest says, he likes

to finance the down payment on a home and this pilot program has the blessing of fannie mae and freddie macrtgages today. >> what we're doing is trying to test and learn a variety of solutions because the preferences for today's home buyers have changed significantly and there's no silver bullet to solving a problem as hard as how do you find a down payment. >> so the idea, of course, is to link this to wedding and baby registries and add to the savings that you already have which could help you avoid higher rates and mortgage insurance. not a bad idea what do you think, guys? >> i don't know. i go back and forth. i get it if you're linking it to a wedding registry i understand that the idea that says in lieu of a gift give me a money that i can put towards a down payment of a house. but sometimes is it coming and saying "i don't have money for this so can you give me some?" >> yeah, and again, it's are people going to give it to you and my concern was do you have skin in the game remember during the foreclosure crisis and the no down payment loans the argument was well, people walked away

what does it do to the federal budget when we are responsible through fannie maye and freddie mac for underwriting home mortgages? we know that if you wipe out the equity of many homeowners in their homes, this can lead to defaults and cost the federal overnment perhaps more than is being -- than we give up by having a home mortgage deduction. another element to keep in mind is if the entire idea of the income tax is we tax people based on their ability to pay. if you're in a state with high income taxes, high property taxes, that diminishes your ability to pay. if you make a certain salary and money is taken out by your state government before you ever see it, your ability to pay is only on that net paycheck. and so it is simply wrong to take away the deduction for state and local taxes. but make no mistake about it, the purpose of removing that hurt ion is not just to the top 30% or 50% of the american people who itemize their deductions. it is designed to punish those who are dependent on state and local government. for all the conservative theorists say if we can just eliminate th