[Congressional Record Volume 153, Number 142 (Monday, September 24, 2007)]
[Extensions of Remarks]
[Page E1963]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




              EXPANDING AMERICAN HOMEOWNERSHIP ACT OF 2007

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                               speech of

                         HON. JAMES R. LANGEVIN

                            of rhode island

                    in the house of representatives

                      Tuesday, September 18, 2007

       The House in Committee of the Whole House on the State of 
     the Union had under consideration the bill (H.R. 1852) to 
     modernize and update the National Housing Act and enable the 
     Federal Housing Administration to use risk-based pricing to 
     more effectively reach underserved borrowers, and for other 
     purposes:

  Mr. LANGEVIN. Madam Chairman, I rise in strong support of the 
Expanding American Homeownership Act of 2007 (H.R. 1852). This 
important piece of legislation will revitalize the Federal Housing 
Administration (FHA), which was established to provide a reliable 
source of affordable mortgage loans for first-time homebuyers. Through 
our efforts today, the FHA will be able to better assist America's 
working families by offering loans at affordable rates with fair terms, 
as we work to alleviate the problems caused by the continuing mortgage 
crisis.
  The lack of affordable housing has long plagued many communities 
throughout America, and the problem is particularly acute in high cost 
areas like Rhode Island. In Rhode Island, the average two-bedroom 
apartment costs $1172 per month--at that rate, many people would need 
to work two or even three jobs just to pay the rent. And the situation 
can be even worse for those struggling to buy their own homes, 
particularly in today's uncertain climate. Unscrupulous lending 
practices have taken their toll on hard-working families, who are 
increasingly unable to keep pace with their ballooning mortgage 
payments.
  The Expanding American Homeownership Act of 2007 will provide much-
needed relief for families on the brink of foreclosure. In particular, 
this targeted legislation will allow the FHA to raise loan limits in 
high cost areas and to offer zero and lower down payment loan options 
for borrowers that can afford mortgage payments, but lack the resources 
required for a down payment. H.R. 1852 will also require that an 
additional $300 million per year be placed in the affordable housing 
trust fund, which will help to provide affordable housing for years to 
come.
  Finally, I am pleased that the bill will double current funding 
levels for housing counseling services. These critical services will 
provide additional guidance to homebuyers in the subprime market and 
others who have difficulty making their monthly mortgage payments.
  In passing the Expanding American Homeownership Act today, we have 
made a commitment to the American people that we will continue to 
ensure affordable housing is available to all Americans. Strengthening 
the security of American families strengthens our economy, and I urge 
my colleagues to support this measure.

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