A Republican and a Democrat team up to split Fannie Mae and Freddie Mac

Bill Clark | CQ Roll Call | Getty Images

Sen. Mark Warner, D-Va., left, speaks with Sen. Bob Corker, R-Tenn.

In the Senate, a Republican and a Democrat are working on a bipartisan deal to change the housing finance industry.

Tennessee Republican Bob Corker and Virginia Democrat Mark Warner are considering a plan that would split up Fannie Mae and Freddie Mac, according to Bloomberg. The government took control of the two companies in 2008 when the housing market collapsed and has since pumped $187.5 billion into them.

The lawmakers are debating splitting Fannie and Freddie’s single-family businesses and multi-family businesses, which finances apartment rentals, sources told Bloomberg. From there, they could continue to divide the single-family business into smaller companies.

Fannie and Freddie back more than $4 trillion in housing securities, according to Bloomberg. Lawmakers have worried that the size of the two companies encourages taxpayer-funded bailouts if they run into trouble.

The two Senate Banking committee members started working on the plan earlier this year, according to Bloomberg. The committee held a housing finance hearing last month and plans to hold another on June 29.

Read the full Bloomberg story here.