Rep. Barney Frank (D-Mass.), chairman of the House Financial Services Committee, said on Friday that the government-backed mortgage finance giants Fannie Mae and Freddie Mac are likely to be abolished and replaced with a new system for housing finance. "The committee will be recommending abolishing Fannie Mae and Freddie Mac in their current form and coming up with a whole new system of housing finance," said Frank, once a big proponent of the firms. "That's the approach, rather than a piecemeal one." Frank said no decision has been made about what future model he will propose, and aides said no action is imminent. He has said it's important for the government to continue to play a role in fostering housing affordability. Click here for the full story from the Washington Post.