Ed DeMarco, the former regulator in charge of the bailed-out mortgage giants Fannie Mae and Freddie Mac, will lead an industry group that works on housing finance.
The Financial Services Roundtable, a major financial industry group, announced Tuesday that DeMarco would head its housing policy council, which works on policies related to Fannie and Freddie.
From 2009 to 2014, DeMarco served as the acting director of the Federal Housing Finance Agency, the agency that acts as the government caretaker for the two companies, which were taken into government hands in the 2008 crisis.
In a statement, Roundtable CEO Tim Pawlenty called DeMarco a "deeply knowledgeable and passionate policy expert who understands how government and industry can better work together to drive economic growth while protecting taxpayers and consumers."
Although the Federal Housing Finance Agency is not well known, it has disproportionate power because of its influence over Fannie and Freddie and the $6 trillion in mortgage-backed securities they guarantee.
In his time leading the agency, DeMarco sought to lessen the two government-sponsored enterprises' market footprints and gained a reputation for fiscal conservatism. He elicited outrage from the left side of the political spectrum when he rejected a request from the Obama Treasury Department to undertake a program that would reduce underwater homeowners' mortgage debt. At one point, the New York Times columnist Paul Krugman campaigned to have him fired.
Since leaving office, DeMarco has written on housing finance as an expert at the Milken Institute, where he has warned that the ongoing government management of Fannie and Freddie has increase risks to taxpayers, and argued that the government should focus less on encouraging homeownership relative to increasing accessibility to rental and old-age housing.