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New Stimulus Package Promises To Change Standards on Loans

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NC Appraising

Elite Member
Joined
Apr 28, 2006
Professional Status
Certified Residential Appraiser
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North Carolina
"The plan, as outlined by Speaker Pelosi, also expands the role of FHA in assisting homeowners in trouble. In addition to raising the loan limits for FHA, Congress will permit more borrowers facing defaults to refinance through the FHA, and increase funding for housing counseling to $500 million to help home buyers who fall behind on their mortgage."



"There were some dissenters. Sen. Mel Martinez, a Florida Republican, said it is irresponsible to increase the loan limit without tightening regulation of the companies. "This is sort of like giving the kid the dessert before you ask him to eat the vegetables," he said. "They [Fannie and Freddie] will exert all the political pressure they can...to ensure that there isn't ever the kind of strong regulator they've got to have."

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