U.S. Expands Plan to Buy Banks Troubled Assets
The White House unveiled the details of a plan to buy up to $2 trillion in bad home loans and mortgage-backed securities from banks.
The U.S. government will match investments made by private investors and offer affordable, taxpayer-supported financing to encourage purchases of the troubled mortgage assets.
The Obama administration also plans to create public-private investment funds to buy mortgage-backed securities as well as expand the Term Asset-Backed Securities Loan Facility to include financing for purchases of existing distressed MBS, including those backed by commercial property loans.
Source: New York Times, Edmund, Andrews (03/24/09)
