How will ending 30 year fixed rate mortgages affect real estate values?

I didn't hear about that. Thanks. I'll look it up.

Well when fewer people are able to afford home purchases that surely will mean the cost of rentals will rise and some will convert to condos. My impression only would be that house values can't take a further hit, or at least not by much if they do. There is a glut of homes on the market at the present time, so my question would be what will happen to those homes. Here in FL if a home sits vacant like when people walk away from their mortgages then the banks would take a hit and the homes would be torn down because the cost of taxes would be so high no one could afford to pay upfront for those property taxes. In years past we've seen the loss of many homes by being torn down rather than incur those property taxes. And, of course, homes can't be cheaper made here because of the tornadoes and hurricanes we experience, so something definitely has to give and soon. I like the 30 year mortgages.

The deaths of Fannie and Freddie are premature. Talk is cheap. Government rarely kills any program.

IF Fannie and Freddie ever do go away, the free markets will replace these loan guarantees with rational loans adjusted properly for real world risks of default. No reason for 30 year fixed loans to disappear. Interest rates and fees will be more connected to the credit worthiness of the borrower. That is the way it should be. That would prevent real estate bubbles and busts - a good thing.

Low risk borrowers will get loans at good interest rates. High risk borrowers either won't qualify for a loan at all, or will pay much higher interest rates and higher fees to offset the higher risk of default on the loan. This is no different than the world of car loans today.

Best wishes and good luck.