Gordon Votes To Help More Americans Become Homeowners
September 18, 2007, WASHINGTON – U.S. Rep. Bart Gordon voted for legislation that will help the Federal Housing Administration meet the needs of today’s housing market and help more Americans become homeowners.
“The Federal Housing Administration was created to help American families realize the dream of owning their own home, but its regulations haven’t kept pace with changes in the housing market” said Gordon. “This bill will help to fix those gaps by updating the FHA’s regulations and allowing it to serve borrowers who have been forced to turn to subprime mortgages.”
Today (Sept. 18), the U.S. House of Representatives approved H.R. 1852, the Expanding American Homeownership Act. The bill would revitalize the Federal Housing Administration, which was established in 1934 to provide a reliable source of affordable mortgage loans for first-time homebuyers.
The bill will enable the FHA to serve more subprime borrowers at affordable rates and terms to attract borrowers who have turned to predatory loans in recent years. It authorizes zero and lower down payment loans to help borrowers who can afford mortgage payments but not the down payment.
The bill also offers refinancing to homeowners struggling to meet their mortgage payments in the midst of the current mortgage market, and it provides more funding for housing counseling to help subprime homebuyers who fall behind on their mortgage payments.
