By Michael Stegman, a senior research fellow at the Joint Center for Housing Studies of Harvard University, and Richard Cooperstein, leader of the Model Risk Management at Andrew Davidson & Co.

Over the years, with the approval of their regulator/conservator, the Federal Housing Finance Agency (FHFA), Fannie Mae and Freddie Mac (the GSEs) put in place an opaque system of cross-subsidies that has enabled them to fund their statutory affordable lending obligations without direct aid from Congress.

President Trump has announced that he plans to nominate Brian Montgomery, the commissioner of the Federal Housing Association, to be deputy secretary at the Department of Housing and Urban Development. So reports Bloomberg.

The U.S. Department of Veterans Affairs has refunded more than $400 million to veterans who may have overpaid on their VA home loans. So reports the Military Times.