New Housing Aid Bill Passed
Monday, July 28th, 2008The bill recently passed by the Senate and Congress will provide mortgage relief to some 400,000 struggling homeowners. It will allow them to get more affordable mortgages backed by the Federal Housing Administration (FHA). The FHA could insure $300 billion in such mortgages. Banks would first have to agree to take a large loss on the existing loans in exchange for avoiding an often-costly foreclosure.
The bill should help those who are threatened by foreclosure, and allow them to keep their home by proving they can afford a new loan. The bill will also offer a $7,500 tax credit to first time homebuyers. This incentive could help get more first time buyers to get out there looking and making offers.
More information can be found on the USA Today Website at:Â http://www.usatoday.com/news/washington/2008-07-26-senate-housing_N.htm.
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