Willy Walker, the chairman and CEO of small commercial real estate financier Walker & Dunlop went on CNBC’s ‘Squawk on the Street’. We were fortunate to have him share his insights on how privatizing Freddie Mac and Fannie Mae would affect the housing sector. The discussion took place on April 1, 2025, at 11:08 AM EDT, where Walker addressed key concerns regarding the future of these government-sponsored enterprises (GSEs) and their role within the housing market.
Throughout the discussion, Walker reiterated the critical role that Freddie Mac and Fannie Mae play. They’re important beyond their functions in the housing sector, as they add liquidity and competitiveness to mortgage markets. Given their central role in housing finance, their privatization could dramatically change the landscape of housing finance and homeownership in this country and for the worse. Walker expressed his expectation that privatization would lead to these entities aggregating capital, which could potentially support their transition into the private sector.
Walker & Dunlop, a prominent company in real estate finance, is closely monitoring developments related to Freddie Mac and Fannie Mae. Given the company’s deep knowledge of the housing market, it is in the best possible position to thoroughly analyze what would likely change under privatization. As Walker articulated at the outset, though privatization might open new doors to innovation and progress, the inherent dangers involved merit thoughtful approach and consideration.
Freddie Mac and Fannie Mae have, for decades, been at the very core of America’s housing finance system. Originally created to increase access to homeownership, their function has always been inextricably linked to government action or inaction. Walker’s remarks really drove home the complexities at play in moving these beasts to a private model. He recognized that the best kinds of privatization produce more efficiency, more innovation, and better overall results. Though, it understandably raises some tough questions around maintaining market stability and protecting consumers.
The conversation on CNBC’s ‘Squawk on the Street’ provided an important platform for stakeholders in the housing industry to consider the implications of such a significant policy shift. Walker’s insights reflect a growing discourse among industry leaders about how best to navigate potential changes in federal housing finance policy.