Senate Passes FHA Bill, Conflicts With House Measure
September 19th, 2007
Related FHA Stories
- Modernization Not A Done Deal
- Senate Passes FHA Modernization Bill
- FHA Mortgage Reform Sails Through Senate Commitee
- FHA Bill Moves Forward In Back Halls Of Congress
- Will the FHA Loan Limit Rise to $635,100?
The Senate Banking Committee has now passed its version of FHA reform, a version which does not match the bill passed by the House.
How do the bills differ?
One major distinction is that the House measure would allow individuals to buy with no money down. That compares with the current 3 percent down FHA requirement. The Senate bill says borrowers should put down at least 1.5 percent.
Both bills would increase the size of FHA loans, now a maximum equal to $362,790 or 87 percent of the conforming loan of $417,000. The House bill reportedly would permit financing for as much as $729,750 high-cost area while the Senate measure would raise the FHA loan limit to the $417,000 mark.
The conflicting measures will now go to a conference committee to see if a compromise can be worked out. Lurking in the wings is input from the White House which opposes various elements of both bills.
This entry was posted on Wednesday, September 19th, 2007 at 2:03 pm and is filed under . You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.