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Scott Jagow: We know how this bail out is gonna work. And that you'll be paying for it. The next question is: What benefit will you see? Most likely in the housing market. More on that from Marketplace's Janet Babin at North Carolina Public Radio.
Janet Babin: After the government takeover, Fannie Mae and Freddie Mac will continue to buy loans and guarantee securities. The silver lining for homebuyers may be lower mortgage rates. Investors will be more willing to buy government-backed housing debt, that could get more houses sold. Tom Lamalfa is with mortgage research and consulting firm Wholesale Access.
Tom Lamalfa: The rescue's biggest boost for consumers really may come from a renewed confidence from banks for mortgages.
But, there's a catch.
Lamalfa: Even that benefit will be undercut by the cost to taxpayers of the rescue.
Treasury Secretary Hank Paulson said it will be difficult to know the ultimate cost of the federal takeover. But LaMoffa says the non-prime mortgages that Fannie Mae and Freddie Mac hold top $600 billion. And the losses on those mortgages will likely top $100 billion.
I'm Janet Babin for Marketplace.