Housing Wire's Christine Ricciardi reports that the Federal Housing Finance Agency posted new rules on GSE oversight with the Federal Register before the holidays, the most significant of which would wean the allowable limit of mortgage portfolio holdings to $250 billion. Ricciardi writes, "As of Dec. 31, 2009, Fannie Mae and Freddie Mac can hold $900 billion worth of mortgage assets. As of Dec. 31, 2010, each is required to reduce its holdings by 10% of the previous maximum limit. That means by the end of 2011, Fannie and Freddie are required to hold $810 billion in mortgage assets each. According to the rule, the limit will be reduced by 10% each year until the limit hits $250 billion."

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