If Fannie Mae goes, what happens to housing?
I don't have a specific answer for you. I am pretty bearish on housing prices, so that may color my viewpoint. If you understand Fannies/Freddies roles in creating the secondary market for mortgages, plus the history of what "conforming" mortgages used to be as opposed to what they are today; which, in turn has created and supported the GIANT boom in creating retail mortgages; the disappearance of these entities would make it much harder to obtain morts, that's for sure. Whether that would have a direct effect on housing prices I'll refrain from saying, but the implication is IMO fairly clear.