A Call for Action

Below is a copy of a letter that I sent to my Congressman regarding the housing crisis. There is a bill currently in Congress # HR 1852 that will expand the FHA loan program and also allow for loan limit increases. Both of which will help out the financial problems many people are facing.




Representative Barney Frank
U.S. House of Representatives
2252 Rayburn House Office Building
Washington, DC 20515-0001

Subject: Support H.R. 1852 and the Frank/Gary Miller/Cardoza Amendment


Dear Representative Frank,

As a constituent and a REALTOR, I am writing to urge you to support H.R. 1852, the "Expanding American Homeownership Act of 2007," sponsored by Rep. Maxine Waters (D-CA) and an amendment to be offered by Representatives Barney Frank (D-MA), Gary Miller (R-CA) and Dennis Cardoza (D-CA) to further increase the FHA loan limits. These important measures would reform the FHA mortgage insurance program, once again providing American homeowners with safe, affordable mortgage alternatives.

H.R. 1852 will allow FHA to risk-base price its products; eliminate the 3% downpayment requirement on FHA loans for first time homebuyers; increase the number of reverse mortgages that FHA can insure; streamline the FHA condominium loan program; and increase the FHA loan limits nationwide and in high cost areas.

Regarding the latter provision, Representatives Barney Frank (D-MA), Gary Miller (R-CA) and Dennis Cardoza (D-CA) are expected to offer an amendment to further increase the FHA loan limits. I ask your strong support for their amendment. Instability in mortgage markets has increased and now affects both subprime and jumbo markets. American homeowners with mortgages whose payments will increase dramatically may soon find themselves at risk of foreclosure in a subprime mortgage they cannot refinance. Further increases in the FHA loan limits will provide these homeowners with a safe, viable mortgage option. In addition, this amendment will give homebuyers in high cost areas an affordable mortgage alternative to the now limited and significantly more expensive jumbo mortgage products.

FHA reform is needed now, more than ever. Please support H.R. 1852 and the Frank/Miller/Cardoza amendment when these measures come to the Floor of the House.



Sincerely,

Roberta Files



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