U.S. House passes comprehensive plan to address mortgage crisis
7/23/2008
Washington, D.C.
News
U.S. HOUSE PASSES COMPREHENSIVE PLAN TO ADDRESS MORTGAGE CRISIS
Washington, D.C. - Today, Congressman Silvestre Reyes, D-El Paso, joined a majority in the House of Representatives in passing the most comprehensive response yet to the American mortgage crisis. The American Housing Rescue and Foreclosure Prevention Act (H.R. 3221) will help families who are at risk of losing their homes, aid local communities hit hard by the foreclosure crisis, and strengthen the economy and financial markets. The bill was passed today in the House by a vote of 272-152.
"Although El Paso has not experienced a dramatic spike in foreclosures as other parts of the country have, the mortgage crisis impacts all of us," said Congressman Reyes. "The bill we passed today will help millions of Americans keep their homes and get our economy back on track."
The American Housing Rescue and Foreclosure Prevention Act will allow hard-working families in danger of losing their homes to refinance into lower-cost government-insured mortgages they can afford to repay - at no cost to the American taxpayer.
The legislation also:
* strengthens neighborhoods hardest hit by the foreclosure crisis by providing resources to allow cities and states to buy up and rehabilitate foreclosed properties that are currently driving down home prices, reducing state and local revenues, and destabilizing neighborhoods;
* expands homeownership opportunities for veterans and helps returning soldiers to avoid foreclosure;
* provides tax breaks to spur home buying; and
* creates a new fund to boost the nation's stock of affordable rental housing in both rural and urban areas for low- and very low-income individuals and families.
The legislation passed today also includes provisions that will help restore confidence in financial markets and shore up Fannie Mae and Freddie Mac. The bill provides the Department of the Treasury with emergency and temporary financing authority for Fannie Mae and Freddie Mac. Fannie Mae and Freddie Mac are important institutions that hold or guarantee nearly half of all mortgages in the United States.
The legislation has earned the support of Democrats and Republicans in both the House and Senate and President Bush has withdrawn his veto threat of this legislation, and had indicated he will sign the bill into law.
"I applaud my colleagues on both sides of the aisle for working together to pass this important legislation," added Reyes. "I look forward to continue working with my colleagues to strengthen the economy."
Vincent M. Perez
202-225-4831
vincent.perez@mail.house.gov
|
