Any kind of radical change in the role of the GSEs could also mean a dramatic change for FHA and Ginnie Mae.

Well, as we now work to reform Wall Street and the financial sector and prevent any future housing crisis, it is really clear that we have to address the future of the GSEs.

So we know reform is necessary and there has to be a clear plan for ending this unlimited taxpayer assistance for Fannie and Freddie.

You noted in your testimony that most of the expected losses are the results of mortgages from previous years.

Do you know when you are going to hit that 2 percent level?

As we have discussed, CBO recently came out with its re-estimate of the receipts that FHA will generate from mortgages insured in fiscal year 2011.

I want to know that the banks are working to do this rather than doing everything they can to make it not work or stall it or not get involved.

My front desk in my Seattle office would tell you that that is not working very well.

About a year ago, the administration launched their Making Home Affordable to help homeowners with foreclosure.

Thirty percent is too much. We all agree with that.

I actually do not expect mortgage rates to back up as significantly as some of the extreme negative views are.