 |
FHA-GSE Bill
The Senate Banking Committee approved GSE reform/FHA write-down legislation. The Committee's bill permanently increases the conforming loan limit to $550,000 (down from $625,500 in the original committee print) and requires conforming loans to be securitized. To ensure the highest permanent loan limit possible in the final housing stimulus package that Congress sends to the President, it is important to continue to encourage House members to cosponsor H.R .5958 (loan limit increase permanency bill) - we are only at 11 cosponsors, including California members Gary Miller, Joe Baca, John Campbell, Mary Bono Mack, Elton Gallegly, Pete Stark, and Adam Schiff.
Title VI of the Manager's Amendment added the mortgage originator licensing and registry system, similar to what Senator Feinstein has proposed. The MBA released a document this morning about why mortgage bankers and mortgage brokers should be regulated differently. It appears they are gearing to fight the all-originator approach in this provision.
The full Senate will now have to vote on this GSE reform/FHA write-down legislation and then it will proceed to formal negotiations with the House to reconcile the differences between each chamber's housing stimulus packages. Banking Committee Chairman Dodd and House Financial Services Committee Chairman Frank are hopeful a final housing stimulus package can be sent to the President before the July 4 congressional recess.
|
 |
