Fannie Mae plans to sell large pools of foreclosed properties to investors

I recently watched the movie "Animal House" and caught the scene where Dean Wormer, in his office, was telling Greg that the Delta house was on "Double Secret Probation".

This FHFA plan to rid Fannie Mae (and if this works, Freddie Mac and FHA properties too) of large pools of investment properties reminds me of what "Double Secret Probation" means to the common people like me....huh? what?

Here's a program that will offer large numbers of foreclosed properties at prices we won't know, to people we don't know in exchange for fixing the properties that we don't know if Fannie Mae will participate in the expense, and renting the properties for an unknown period of time, to an unknown pool of tenants....and never knowing the "true" cost to taxpayers.

Yep - potential double secret probation!

Sources: 

http://www.mortgagenewsdaily.com/02272012_foreclosures_reo.asp
Federal Housing Finance Agency, HUD, and Fannie Mae Press Release

FHFA REO Asset Disposition Program Summary
References to products and services are not a specific endorsement, but the user must perform their due diligence and investigate whether the product or service is right for them. I welcome any or all comments that would help others.