WASHINGTON, D.C. – August 4, 2011 – (RealEstateRama) — David H. Stevens, President and CEO of the Mortgage Bankers Association (MBA) today supported the introduction of S. 1508, the Homeownership Affordability Act of 2011, a bill that will allow the Federal Housing Administration (FHA), Government Sponsored Enterprises (GSE) and the Veterans Administration (VA) to insure home loans at their current maximum levels until December 31, 2013. The Senate bill joins similar efforts in the House to extend the current limits, which are set to expire September 30, 2011.
Stevens issued the following statement
“This bill is consistent with MBA’s policy that the loan limits should be allowed to fall back to the lower levels once the housing market stabilizes. Given the slowdown in the housing recovery, we have concerns whether this is the right time to add another stress to the market.
“We want to thank Senators Menendez and Isakson for introducing their bill and impress upon all policymakers the importance of resolving this issue as soon as possible, given that uncertainty over what the limits will be on October 1 is already impacting the ability of lenders to guarantee lower interest rates for borrowers who are looking to secure financing today.”
The Mortgage Bankers Association (MBA) is the national association representing the real estate finance industry, an industry that employs more than 280,000 people in virtually every community in the country. Headquartered in Washington, D.C., the association works to ensure the continued strength of the nation’s residential and commercial real estate markets; to expand homeownership and extend access to affordable housing to all Americans. MBA promotes fair and ethical lending practices and fosters professional excellence among real estate finance employees through a wide range of educational programs and a variety of publications. Its membership of over 2,200 companies includes all elements of real estate finance: mortgage companies, mortgage brokers, commercial banks, thrifts, Wall Street conduits, life insurance companies and others in the mortgage lending field. For additional information, visit MBA’s Web site: www.mortgagebankers.org.
John Mechem (202) 557-2924