On March 27, President Trump signed a memorandum issuing “overdue reform of the housing finance system” and calling for an end of the conservatorship of Fannie Mae and Freddie Mac.

The move was announced during the second day of Senate Banking Committee hearings on GSE reform.

According to the president’s directive, the Department of Housing and Urban Development and the Treasury Department will be tasked with drafting proposals for reform, with the Treasury detailing Fannie and Freddie plans while HUD lays out a plan for the housing finance agencies it oversees.

The memorandum details programs and objectives that the government agencies are asked to analyze for reform, but it doesn’t provide many other specifics. Most groups in the housing space applauded the president’s move as an official step forward to instigating long-awaited change, including The Mortgage Bankers Association, the National Association of Realtors, the National Association of Home Builders and the National Association of Federally-Insured Credit Union.