SIFMA Comment Letters on the Use of Eminent Domain to Restructure Performing Loans

SIFMA submitted letters to the Secretary of the Treasury and the head of the FDIC opposing the use of eminent domain to restructure performing loans. Specifically, SIFMA argued that if the proposals were implemented, they would fundamentally call into question the reliability of the mortgage contract and, by undermining the legal structure which supports secured mortgage lending, have permanent, negative consequences for the national housing finance system.

View letter to Department of Treasury here; letter to FDIC here (links externally to SIFMA website). See also: SIFMA Statement to San Bernardino, CA Joint Powers Authority on Eminent Domain Proposal.