There was a good article over at the National Journal recently explaining how progress is coming along with the Senate version of the housing assistance bill we have been covering. Here are some excerpts:
Senators are expected to revise their housing-assistance package to set loan limits for mortgage giants Fannie Mae and Freddie Mac at $625,000 in an effort to split the difference with House negotiators on a final package and help steady an increasingly rattled home mortgage market.
Senate Banking Chairman Christopher Dodd made a few significant changes to the bill he introduced with ranking member Richard Shelby and that was approved by their panel last month. They hope to strike a deal with a competing version sponsored by House Financial Services Chairman Barney Frank, according to an outline of the proposal circulated among lobbyists Monday night.
Dodd’s office was expected to release details of the bill today as it should come to the Senate floor this week.
The most important change would set Fannie and Freddie loan limits at $625,000, according to the outline, which is $75,000 more than called for in their original bill.
By contrast, the Frank bill would maintain the loan limits at approximately $730,000, a benchmark that was established in the economic-stimulus package passed in February but lasts only through the end of the year.
The Senate version would set loan limits for the Federal Housing Administration’s mortgage insurance program at $625,000 as well, according to the outline.