A LOOK BACK ON THE SUBPRIME MORTGAGE BOOM: Senator Warren Gets Taken In by a False Analysis. “As we will show, the affordable housing goals created substantial demand for subprime loans, a high percentage of which — as the paper notes — met the technical requirements of the goals. For this reason, Fannie and Freddie, the two GSEs were, by far, the largest buyers of securities backed by such loans. Indeed, as shown in the chart below, the GSEs bought more than 40 percent of all these securities issued in 2004, a dramatic increase from their purchase share only three years earlier. To achieve this rise in market share, the expansion of GSE purchases in 2002, 2003, and 2004 accounted for more than half of the growth in the market for private mortgage-backed securities (PMBS) backed by subprime mortgages.”