Realtors weigh in on Fannie, Freddie takeover

California trade group cautions about 'short-circuit' in role of GSEs

The U.S. Treasury Department takeover of mortgage entities Fannie Mae and Freddie Mac could "short-circuit" the role of the entities during real estate downturns and lead to higher down-payment requirements and lower home-ownership rates, the California Association of Realtors cautioned in a statement Monday afternoon.