WASHINGTON, D.C. – March 12, 2013 – (RealEstateRama) — Debra W. Still, CMB, Chairman of the Mortgage Bankers Association (MBA), issued the following statement addressing concerns about the potential that the Federal Housing Administration (FHA) will exhaust its commitment authority for multifamily and healthcare programs:
“Recently, the FHA notified Congress that it is on pace to exhaust its commitment authority for multifamily and healthcare program loans for fiscal year 2013 and will require additional authority to insure these loans. Failure to provide the additional commitment authority has the potential to cause significant disruptions to financing for apartments and healthcare facilities throughout the country.
“MBA is calling on Congress, as it considers its continuing resolutions to fund government programs for the remainder of fiscal year 2013, to add a provision granting FHA an additional $5 billion in commitment authority for multifamily and healthcare loans.
“The additional commitment authority is critical at a time when rental housing is playing a historically larger role in the overall housing market and the number of Americans in rental housing is at the highest level in decades. Not funding these programs would disrupt financing for rental housing and healthcare properties. Congress should take this into consideration and add $5 billion in FHA multifamily and healthcare commitment authority, a provision that requires no direct appropriation of funds.”
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.