The Wall Street Journal wrote an editorial on the dangerous growth at Ginnie Mae on August 11th: “The Next Fannie Mae”. It makes the same points I made the other day in “Ginnie Mae Accounts for 20% of New Mortgages In 2009”.
There is one discrepancy in the two WSJ pieces. The editorial says Ginnie Mae guaranteed $680 billion of mortgage backed securities through July. The other WSJ article said the number was $298 billion through August. Big difference.