Subject: File No. S7-34-11
From: Jeffrey M Lattea

September 1, 2011

Mortgage REITs are looking more and more like suitable replacements to Fannie and Freddie Mac. It seems extremely illogical to change up their tax status and gut the companies of doing what they were made to do. When Fannie and Freddie Mac began to crumble, mREITs were there picking up a lot of the pieces and filling the void. I'm an average citizen without extreme knowledge of the situation, but for what I have learned about mREITs, what you're doing could be catastrophic to the mortgage market and the economy.