President Trump met with Citigroup and Bank of America CEOs to discuss privatizing Fannie Mae and Freddie Mac. The plan includes taking both firms public with a large share offering while maintaining government mortgage guarantees and oversight. The move aims to end government backstops but could raise mortgage costs.

Fannie Mae and Freddie Mac, in federal conservatorship since 2008, have rebuilt capital reserves and returned to profitability. Trump’s meetings with bank leaders signal progress towards privatization, impacting over half of the nation’s mortgages. Analysts warn of potential mortgage rate hikes and consumer backlash, calling for a deliberate process.

Read more at Yahoo Finance: Trump met Citi, BofA CEOs to discuss plans for Fannie and Freddie, sources say