Fannie Mae will fill the mortgage securities void.
The Federal National Mortgage Assn. announced that it will start issuing securities backed by new government-insured mortgages, a move intended to bridge the gap caused by the temporary suspension of these guarantees by the Government National Mortgage Assn. Last week, Ginnie Mae temporarily stopped making the guarantees, which affected new loans from the Federal Housing Administration and the Veterans Administration. Ginnie Mae acted because it has already reached its statutory ceiling guarantee of $65.3 billion for the fiscal year ending Sept. 30.