The reasons are easy to understand, given the central role that housing played in the Great Recession. Following an extended boom in construction driven in large part by overly loose mortgage lending standards and unrealistic expectations for future home price increases, the housing market collapsed – sales and prices plunged and mortgage credit was sharply curtailed.
Major administrative decisions will need the approval of the Board of Directors, which has seven members, five of them external, with one of the external members being appointed as Chairman. Why did we propose these new arrangements? Because experience and research have shown that on average committees make better decisions than a single individual.