Payne Votes To Stabilize Housing Market, Protect Taxpayers
Washington, D.C. – June 10, 2010 – (RealEstateRama) — Today, Congressman Donald M. Payne voted to help families realize the dream of homeownership, save taxpayers money and protect Americans from mortgage fraud by instituting reforms to the Federal Housing Administration (FHA).
“This bill is critical to our economic growth and families across America seeking to realize the American Dream, said Payne. “These reforms will help rebuild the housing market, while protecting families from the sort of mortgage scams and fraud that devastated the economy and caused so many to lose their homes.”
The Federal Housing Administration Reform Act, HR 5072, is part of my commitment to cracking down on big business greed and corruption, and providing working Americans and small businesses the tools to drive our economic recovery. The bill enjoyed wide bipartisan support with a vote of 406 – 4.
“I am working to reform lending practices after years of irresponsible lending and mortgage fraud schemes by big banks that hurt American families,” said Payne. “It is time to put American families and Main Street first. That means protecting American families and their homes and saving taxpayers billions of dollars in the process.”
The Federal Housing Administration Reform Act will save taxpayers $2.5 billion over five years and make crucial reforms to strengthen the operation of the FHA, which has helped 37 million Americans buy homes since 1934. This will help families realize the dream of homeownership, especially low-income and minority families, through responsible lending. Also, the reforms will help protect Americans from mortgage scams and fraudulent lenders by modernizing and strengthening the FHA’s ability to analyze risk and go after lenders who violate regulations. The bill also makes the FHA more accountable by improving its internal reporting systems and providing greater transparency to the public and Congress.
The FHA Reform Act is supported by a wide coalition of organizations, including the National Urban League, the National Association of Realtors, the Mortgage Bankers Association, the National Community Reinvestment Coalition, and the National Association of Home Builders.
