The Trump administration on Thursday released its first formal plan to overhaul the housing finance system and begin the process of removing Fannie Mae and Freddie Mac from government conservatorship, where they have been for the past 11 years.

The plan would also allow the firms, which back more than half of the nation’s home mortgages, to keep more of their earnings.

The objectives of the administration’s plan, according to Treasury officials, are to create a limited role for the federal government in the housing finance system, enhance taxpayer protections, and increase the role of private sector competition. Accomplishing all of this will take legislative and administrative action.

The plan is 53 pages. It is long on broad, general proposals, but shorter on specifics. Recapitalizing the two mortgage giants and reinventing the $5 trillion housing finance market will be a lengthy and complicated process involving multiple stakeholders.

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