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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Knighty Tin who wrote (81748)	6/18/2000 2:33:00 PM
From: Spekulatius	Read Replies (1) \| Respond to of 132070

I am also starting to look at Freddie (FRE) and Fannie Mae (FNM). With a valuation of about 12 - 13 x earnings, they are not super cheap but compared to their growth rates they look very good. One reason why i like these companies is because i believe the Internet will improve their competitive position. Right now they are just lean reseller and repackager of mortgage debt but i wonder if the Internet is enabling them to cut the mortgage broker/banks out as middleman. With the Internet, one could log in Fannie Mae website and fill in the mortgage application directly, thus saving cost. both seem to be quite Internet savvy and this seems to me like a tremendous business opportunity with significant cost saving opportunity for the customer as well.