As the Government begins to wind down Fannie Mae and Freddie Mac, what becomes of the 30 year fixed rate mortgage?  My opinion:  it is a goner.  What private investor is going to step in and fill this void?  It will be very interesting to watch and see how this plays out over the next 5-10 years.  My best guess is that we will see fixed rate loans for periods of 3, 5, 7 and maybe even 10 years but all the rest will be off the table.  It makes sense.  Investors will have a much shorter time commitment with their resources and will be able to adjust their assets more frequently to adapt to the fluidity of the markets.  As the average life of a 30 year fixed rate mortgage is below 7 years already, this will not have much of a material effect on the market but will take a while for people to wrap their arms around as it is change.