the new lender, freddie mac, requested the city revise the ground lease to include some protections in case there a default of the loan. specific changes to the leases are, in a document captured in the supporting file, supporting document in the file called the second amendment to the ground lease. and those changes are specifically additional language in sections 1-5, that provide reasonable commercially reasonable protections to the lender in case there is a default by the property owner, and also language added in section six that would bring the ground lease to the city's current legal requirements. since we introduced the resolution back in december, the lender has also requested some additional changes that our department has come to agreement with. these changes are in an updated version of the second amendment that we are, that i have copies of currently and i can ask madam clerk to circulate to the committee members. so, specifically the updated second amendment version that you are looking at now has a couple of additional changes that we have agreed to with the lender. we h

and the elephait, namely fannie mae and freddie mac. talk is heating up in congress to reform the system. and private investors seem not only ready but eager to get back in the mortgage game. as for mortgage rates, most predict they will move higher. but most predicted that for the past two years and were wrong. for "nightly business r" m diana olick in washington. >>> coming up, we're going to take you on the road and into the ai >>> the auto and airline industries are preparing to fly high in 2018, thanks to strong demand and consumer confidence that remains robust. what can we expect in the new year on the roads and in the air? phil lebeau takes a look. >> reporter: after three straight years with sales topping 17 million vehicles annually, the auto business will slow down in 2018. sales are expected to fall 3 to 5% next year due mainly to a slight pullback in demand. still, trucks and suvs will remain popular picks in showrooms thanks to relatively low gas prices. meanwhile, you can expect sales of electric cars to charge up in 2018

and the elephants in it, namely fannie mae and freddie mac. talk is finally heating up in congress to reform the system and private investors seem not only ready, but eager, to get as for mortgage rates, most predict they will move higher. but most predicted that for the past two. >>> our thanks there to diana olick and steve liesman. here with some money moves to get the new year off to a smart start is personal finance expert stacy tisdale. i mean the smart part of this is coming into play, because there's so much unknown about what we're moving into for 2018. let's take, first, the new tax reform law. how shall we plan ahead for what will affect how much we pay to the government? >> this is the year that it's more important than ever that people sit down with an accountant or a financial professional. e the way you do the standard deduction was doubled. itemizing might not be right for you anymore. we saw all of this chaos around prepaying the real estate taxes. and we're still not quite sure how that works. and, in fact, unless your real e

done screwing people out of the american dream the federal government including fannie mae and freddie mac. sold underwater mortgages to wall street investors who bought those same holds and turned them into rental properties having wall street as your landlord what could go wrong. it's like heaven when no i says your life coach. we're on this we turn to our senior housing expert now let me know. what's going on here what's going on here is you think landlords are somehow worse now that wall street's involved show me one person who has a good relationship with their land. right there was a ferret trapped in my walls for tooth. and when i told my landlord he tried to charge me a monthly pet owner fee. at least these wall street back companies like invitation homes are doing something about housing they pumped an average of twenty two thousand dollars each into what would otherwise be eyesores the only thing my landlords post recently is brought chicken. what into the walls to learn to ferret out. ok ok now it twenty two thousand dollars house is not really much for wall street and doesn't i

i'm freddie mac. in two days, president trump will deliver his first state of the union address in what could be a pivotal moment of his presidency. let's get to boris fran chez at the white house. what are the expectations of this speech? >> white house official telling cnn to expect an optimistic speech coming from president trump. the theme of the state of the union address on tuesday will be building a safer, stronger and prouder america. we're told the president is going to attempt to reach people outside of his own base and appeal to them on several different levels. one of them will be his touting of a booming economy. the president expected to cite the growing stock market and dwindling unemployment numbers before shifting to ab outlook of the future. specifically, he's set to ask congress nearly a trillion dollars to fund his infrastructure plan. but the biggest driver of this speech, the thing to watch for is the president's mess alk on immigration at a crucial time. the president is going t

i'm freddie mac.wo days, president trump will deliver his first state of the union address in what could be a pivotal moment of his presidency. let's get to boris fran chez at the white house. what are the expectations of this speech? >> white house official telling cnn to expect an optimistic speech coming from president trump. the theme of the state of the union address on tuesday will be building a safer, stronger and prouder america. we're told the president is going to attempt to reach people outside of his own base a

lending giant freddie mac says the average rate for its 30- year fixed home loan went to 3.95% for 15ears popular refinancing option falling to 3.38%. >> honda and volkswagen are getting in on the driverless car race. they are partnering with a firm led by executives from google -- former executives from google. they hope to bring self-driving cars to roads soon. >>> and the cdc is warning people romaine lettuce may be linked to a recent e. coli outbreak. the investigation is ongoing. the warning comes after 60 people were infected by e. coli bacteria. illnesses were reported in 13 states and canada. the cdc says the outbreak started in mid-november. kenny. >> diane, we hear that there's a new report that kids are earning a paycheck around the house. how much are kids earning on average these days? >> reporter: okay. this is an annual report from rooster money an allowance app and track their shows kids earn about $450 a year. that's about 8 to 9 bucks a week. and guess what. they are planning to save nearly half of that. as for top things kids save for, they are looking for legos, ph

fannie mae, freddie mac, t.a.r.p., things like that. so what does this mean debt to gdp? well, i mentioned to you before that debt to gdp is already higher than any other time since world war ii, already about twice its historic average. and even prior to the tax cuts, debt to gdp was rising from 77% of gdp today to 91% after a decade. that might not sound like a lot to you, but it sure sounds like a lot to me. that's really what would be unprecedented to start with, to have a debt already so high and continue to rise. as a result of this tax cut bill alone, debt is likely to rise to 96% of gdp. if we add in other policies, we're talking about 98%. if we submit that everything is extended extended, the scenario i showed you back here, debt would reach 108% of gdp by 2027. in other words, we would exceed that world war ii record not because of a war, not because of a great depression, but because of our own choosing, because congress continued to spend more and tax less without consideration of the fiscal consequences. remember, i said, it's a lonely lonely universe of bud

fanny made and freddie mac, the percentage is they have tightening lending standards, they have redefinedlones from 6.60 to 6.20. you have the fha loans that have less than 5% down, they were less than 3% of the new loans back at the peak in 2005 -- >> neil: so you're saying we're getting risky again. let me turn this around knowing that people knew you be here. but one thing they said, maybe housing doesn't lead the economy like it used to. maybe this concern about housing is overstated because of other factors like corporate earnings, all this other stuff is driving this economy in a far greater way an can absorb whatever happening to housing. what do you say? >> housing doesn't lead the economy. the housing market didn't bottom until 2011. the recession bottomed in 2009. >> neil: their point, housing isn't a big of deal as you make it to be. you say what? >> it accounts for 15 to 20% of overall economic growth. not just the housing market. but also all the other different aspects that housing tends to stimulate through the economy. so it is a significant part. it's not going to cause a

the heat of the great recession, and a lot of that was one-time payment we recouped, fannie mae, freddie mac, tarp, things like that. so what does this mean to jet to gdp? it's already higher than any of the event since world war ii. it's already about twice the stork average. even prior to the tax cuts, debt to gdp was rising from 77% of gdp today the 91%. after a decade. that might not sound like a lot to you but it sure sounds like a lot to me. that really would be unprecedented to start, have debt that is so high and continue to rise. as result of this tax cut bill alone, that is likely to rise than 96% of gdp, if we add in these other policies were talking about 98%. if we assume everything is extended, the snare i showed you, if we assume everything is extended that would reach 108% of gdp by 2027. in other words, we would exceed that world war ii record. not because of the work of not because of the great depression but because of her own choosing. because congress continued to spend more and tax less without consideration of the fiscal consequences. remember, i said it's a lonely uni

fannie mae and freddie mac will be open, post office is open, tsa is open but all these people are working for nothing which is not fair we'll manage the shutdown differently. we're not going to weaponize it. we're not going to try and hurt people especially people that have to work for this federal government we still need congress to appropriate the funds. look that's all the time we have. we'll be doing this again. thanks very much >> all right obviously talking about the potential shutdown which mull vainy put the odds at 50% or 60%. he said there is no way you can lay this at the feet of the president of the united states who by the way, eamon javers scrapped his plans to travel to florida tomorrow night because of this. >> that feels like a press briefing from a white house that feels like they're heading for a government shutdown later on today or at least at this hour they feel like that is a real possibility. not a the love talk about additional concessions or negotiations they're going, to it sounds like, simply force the democrats to vote on this and see if they blink. while tha

unlike va, other agencies such as jennie mae, freddie mac and fha can make changes quickly. we support legislation that would empower to make changes in a similarly expeditious manner, with seasoning and recoupment periods for earls. >> additionally, policymakers should ensure that noncost-saving reasons should consider through the process of our deserving veterans. thank you again, mr. chairman and ranking member and the committee for allowing you to come before you today and i look forward to questions. >> thank you, mr. cooper. i now recognize and yield myself five minutes. i may have to yield early and i would rather yield to my colleague, but in the event i have to leave i want to put my thoughts out there and ask you guys question. i've spent four years as a regulator in washington during the bush administration, george w., at the fdic, and my philosophical view of regulation is that the best way to regulate in a private market is to have full transparency and robust competition so that people know what they're getting and they have choices. because presumably if peopl

on is you don't want to personally guarantee anything right now we do all our loans, fannie mae, freddie macs a very interesting lesson to draw speaks a lot to -- >> when the heat goes on and you have a personal guarantee, it's not fun. >> we'll have a lot more, if you don't mind sticking around we'll talk -- we'll have a triple play. a-rod will join two of our "fast money" traders to talk top stock picks. if you have questions for the all-star, you can tweet us @cnbcclosingbell. >>> the super bowl a week away on it while some watch it for the sport, a lot watch it for the mmcis.coeral we'll have a worldwide sneak peek at one of those ads coming up you always pay your insurance on time. tap one little bumper, and up go your rates. what good is having insurance if you get punished for using it? news flash: nobody's perfect. for drivers with accident forgiveness, liberty mutual won't raise your rates due to your first accident. switch and you could save $782 on home and auto insurance. call for a free quote today. liberty stands with you™ liberty mutual insurance. ronoh really?g's going on at

freddie mac is now saying may not see the mortgage rates in the 3% handle for some time.ng. they're also saying the labor markets are tighting. so it means upward pressure on long-term rates on 30-year mortgages. stuart: 4.15%. a significant jump from a couple weeks ago at 3.9. liz: highest since last spring. stuart: check the big board. we lost much of the rally we opened with this morning. we were up over 100 points. now we're up 51 but beginning to climb back. 26,300 is where we are. the count is still the same, four dow stocks hitting all-time highs. jpmorgan, goldman sachs, 3m, nike, all-time highs. there is also all-time high for netflix. there is dow stock, another high there. $260 a share. we will talk about that in a second. oil, $66 per barrel. >>> immigration, or back to it i say. president says "dreamers" could get a path to citizenship. roll the tape. reporter: citizenship for dream officers. >> it will morph into it will happen. over a period, over a period of 10 to 12 years. stuart: that i is new. sarah flores, justice department public apfairs director joi

for the 30-year freddie mac. that is up from 3.99% last week.d the rates to go up. the 10-year yield on treasury are on the way up. still 4.04% for a 30-year fixed loan, pretty darn good. stuart: we haven't said it for a long time but i think we should. i bought my first house in san francisco in 1970s, paid 12 1/2%. ashley: 1980. 18 1/2%. >> liz sy is laughing. markets are down overall. see the big techs. apple at an all-time high. it retreated a little bit from that high. facebook is up. microsoft up 17 cents but at $90 a share. also check walmart, visa, home depot, you unitedhealth, 3m, all dow stocks all of them today, this morning, hit all-time record highs again. >>> morgan stanley, look at it go. it's a 10-year high put out very nice earnings report. the market likes it. 55 bucks a share on morgan stanley. alcoa, oh, not good, down 7.8%. they lost money again. that is the bottom line here. a 2 bucks a share. down -- 52 bucks a share. down $4. >>> top of the hour apple makes a huge investment in employees and in america. joining us lawrenc