WASHINGTON, D.C. (LoanSafe.org) – Robert E. Story, Jr., CMB, Chairman of the Mortgage Bankers Association (MBA), today applauded passage in the House of Representatives of H.R. 5072, the FHA Reform Act of 2010.
Mr. Story issued the following comment:
“FHA is playing a critical role in today’s housing market, helping to provide more affordable financing for borrowers looking to purchase or refinance a home. The reforms contained in this bill will help stabilize FHA’s finances by allowing the agency to raise its annual premiums and better take corrective action against lenders who are putting the program at risk.
“Importantly, the bill also contains provisions to increase FHA’s multifamily loan limits for elevator buildings and in extremely high cost areas. One of MBA’s top legislative priorities, increasing the multifamily limits in this way will help lenders finance the construction and refurbishment of much-needed affordable rental housing in many urban areas of this country.
“We hope the Senate will be empowered by the House action and will consider similar legislation quickly. When it does, we hope it will adopt the House language on multifamily loan limits and that Senators will work to keep a careful balance that will allow FHA to address lender enforcement and loan indemnification without discouraging responsible lenders from participating in the FHA program.”
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.