CBO has updated its 2014 analysis of four alternative structures for the secondary mortgage market to reflect a shorter transition period to something new, declining GSE market shares in the transition, and CRT expansion. The new study also includes estimates of the federal subsidy costs for each option beyond the transition period. While CBO continues to use fair value scoring in assessing each alternative, it acknowledges that the more likely scoring technique of FCRA will hit any of the privatizing alternatives hard unless Congress changes federal budgeting rules.
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