[Congressional Record Volume 156, Number 95 (Wednesday, June 23, 2010)]
[House]
[Pages H4685-H4687]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
RECOGNIZING NATIONAL HOMEOWNERSHIP MONTH
Ms. KOSMAS. Mr. Speaker, I move to suspend the rules and agree to the
resolution (H. Res. 1434) recognizing National Homeownership Month and
the importance of homeownership in the United States.
The Clerk read the title of the resolution.
The text of the resolution is as follows:
H. Res. 1434
Whereas the month of June is recognized as National
Homeownership Month;
Whereas the people of the United States are one of the
best-housed populations in the world;
Whereas owning a home is a fundamental part of the American
dream and is the largest personal investment many families
will ever make;
Whereas homeownership provides economic security for
homeowners by aiding them in building wealth over time and
strengthens communities through a greater stake among
homeowners in local schools, civic organizations, and
churches;
Whereas creating affordable homeownership opportunities
requires the commitment and cooperation of the private,
public, and nonprofit sectors, including the Federal
Government and State and local governments;
Whereas homeownership can be sustained through appropriate
homeownership education and informed borrowers; and
Whereas affordable homeownership will play a vital role in
resolving the crisis in the United States housing market:
Now, therefore, be it
Resolved, That the House of Representatives--
(1) fully supports the goals and ideals of National
Homeownership Month;
(2) recognizes the importance of homeownership in building
strong communities and families; and
(3) reaffirms the importance of homeownership in the
Nation's economy and its central role in our national
economic recovery.
The SPEAKER pro tempore. Pursuant to the rule, the gentlewoman from
Florida (Ms. Kosmas) and the gentleman from California (Mr. Gary G.
Miller) each will control 20 minutes.
The Chair recognizes the gentlewoman from Florida.
General Leave
Ms. KOSMAS. Mr. Speaker, I ask unanimous consent that all Members may
have 5 legislative days within which to revise and extend their remarks
on this legislation and to insert extraneous material thereon.
The SPEAKER pro tempore. Is there objection to the request of the
gentlewoman from Florida?
There was no objection.
Ms. KOSMAS. Mr. Speaker, I yield myself 2 minutes.
This bipartisan resolution supports the goals and ideals of National
Homeownership Month and reaffirms Congress' commitment to helping
working families fulfill a fundamental part of the American Dream.
Importantly, this resolution recognizes the vital role that
homeownership plays, together with safe and affordable rental housing,
and building strong communities and families, and it affirms the
central role that responsible homeownership plays in our economic
recovery.
I hope my colleagues will join in support of this resolution that
will send an important signal to the American people that creating fair
and responsible homeownership opportunities requires commitment and
cooperation, and that Washington is up to the challenge.
Mr. Speaker, I reserve the balance of my time.
Mr. GARY G. MILLER of California. I yield myself such time as I may
consume.
Today I rise in support of House Resolution 1434, recognizing the
significance of homeownership in America. Every year, this body comes
together to designate June as National Homeownership Month. To continue
this long record of recognition, H.R. 1434 provides congressional
recognition of National Homeownership Month and the importance of
homeownership in the United States.
Owning a home is a fundamental part of the American Dream and is the
largest personal investment most families will ever make. For millions
of families across this country, a home is more than just the symbol of
the American Dream. It's the backbone of the American way of life.
Moreover, in addition to providing financial benefits to individuals,
homeownership helps strengthen communities. Since homeowners are
investing not only in themselves, but in the community, they have a
greater stake in the success of their local schools, civic
organizations, and churches.
For the past several years, this country has experienced significant
upheaval in the United States housing market. The turmoil being
experienced by homeowners has been devastating and swift moving, and
Americans are looking to their leaders in government to end the
terrible housing situation without placing an additional burden on the
taxpayers.
{time} 1050
My home State of California, in particular, has been heavily impacted
by the mortgage crisis, with thousands of families losing their homes.
Thirty-four percent of homeowners in my State currently have negative
equity in their home. It is crucial that the body recognize the impact
of the problems facing the housing market so it can take steps to
ensure that equity and liquidity return to the marketplace.
Despite all that is occurring in the current housing market, we need
to remember that home ownership has historically been the single
largest creator of wealth for most Americans. As someone who has been
involved in the industry for over 35 years as a developer, I have seen
my fair share of the housing market downturns.
From these experiences, I have learned at times of stress it is
important to ensure that liquidity continues to flow to the housing
market in order to keep the market functioning. Accordingly, the loan
limit increases passed by this body are finally providing affordable,
safe mortgages for homeowners in the high cost areas who were
previously forced to resort to risky loans and impaired their ability
to keep their home.
Additionally, to bring stability to the housing market and encourage
responsible home ownership, I have sponsored legislation to allow
homeowners going through foreclosure to stay in their homes and have
the option of buying them back in the future. During these economically
challenging times, it is more important than ever to provide relief to
hardworking Americans.
In conclusion, in the first quarter of 2010 the national home
ownership rate decreased to 67.1 percent. This is the lowest home
ownership rate since the first quarter of 2000. Additionally, in
[[Page H4686]]
the first-time buyer age group of under 35 years old, the home
ownership rate fell to 38.9 percent, which is the lowest level since
1997.
Assisting home buyers and homeowners by permanently increasing the
loan limits, enabling borrowers in financially distressed homes to stay
in their homes, must be a priority for this body. These efforts will
help maintain the Nation's home ownership level and speed up the
overall recovery of the housing market.
I reserve the balance of my time.
Ms. KOSMAS. Mr. Speaker, I yield 4 minutes to the gentleman from
Texas (Mr. Hinojosa).
Mr. HINOJOSA. Mr. Speaker, I rise in strong support of House
Resolution 1434, recognizing June 2010 as National Homeownership Month.
I am proud to be an original cosponsor of this important resolution,
and I commend my good friend and colleague, Congressman Gary Miller
from California, for its introduction.
This year's theme is Protecting the American Dream. American families
deserve the opportunity to achieve and sustain the dream of home
ownership. This administration and Congress have been taking the
necessary measures to help existing homeowners stay in their homes, to
offer a second chance to millions of responsible families, to encourage
wise and affordable home purchases, and to stabilize our households,
neighborhoods, and communities.
The House of Representatives passed the Federal Housing
Administration Reform Act of 2010. Sponsored by Chairwoman Maxine
Waters of California, the bill also helps families realize the American
Dream of home ownership, protects Americans from mortgage fraud, and
saves taxpayers money. The legislation ensures that the Federal Housing
Administration remains viable and continues to provide qualified
borrowers with access to prime credit.
FHA insurance has been particularly important for minority
communities, for low-income families, and for first-time home buyers,
and will continue to help my congressional district, which is 80
percent Hispanic and poor.
The Homebuyer Tax Credit the House has extended several times has
increased home sales and helped stabilize the housing market. Estimates
suggest that this credit and several extensions will have resulted in 1
million additional home purchases and saved an average of $21,000 in
equity for American homeowners who indirectly benefited from the
stabilization of house values.
In my capacity as chairman of the Congressional Rural Housing Caucus,
I have managed to collaborate with my colleagues in obtaining a
substantial amount of money for the USDA Section 502 Single Family
Direct Loan program. Recently, I worked closely with the USDA's
Department of Rural Housing Service on additional commitment authority
for the Section 502 Single Family Guaranteed Loan program. The House of
Representatives and USDA's Rural Housing Service have done our jobs.
It's my sincere hope that the Senate will act quickly on the 502 Single
Family Guaranteed Loan program so that banks can close on loans.
The House has passed antipredatory lending legislation and is now in
conference with the Senate on legislation that will increase consumer
protection by reforming our financial services regulations and
legislation. Moreover, the House of Representatives has passed
legislation reauthorizing the National Flood Insurance Program that
will help Americans in their times of need. Hundreds of thousands of
first time home buyers will be unable to close on their homes if they
are located in floodplains and require flood insurance. I humbly ask
that the Senate reauthorize the National Flood Insurance Program as
quickly as possible.
Mr. Speaker, dozens of communities across the Nation have planned
events and activities throughout June to highlight the benefits of home
ownership and share information on ways families can remain successful
homeowners.
The SPEAKER pro tempore. The time of the gentleman has expired.
Ms. KOSMAS. I yield an additional 10 seconds to the gentleman.
Mr. HINOJOSA. I am glad that we are in Congress acknowledging their
efforts through this resolution.
I urge all my colleagues to support this important resolution.
Congress of the
United States,
Washington, DC, June 17, 2010.
Hon. Nancy Pelosi,
Speaker, U.S. House of Representatives, Washington, DC.
Hon. John Boehner,
Minority Leader, U.S. House of Representatives, Washington,
DC.
Dear Speaker Pelosi and Minority Leader Boehner: The
homebuyer tax credit has been extremely successful in
increasing home sales and stabilizing the housing market.
Early estimates suggest that when complete the credit will
have created 1 million additional home purchases, and saved
an average of $21,000 in equity for American homeowners who
indirectly benefited from the stabilizing of house values.
However, many relatively new challenges to the industry
have delayed the closing for too many homebuyers who made
every effort available to sign for a house by April 30, 2010
and close by the June 30, 2010 deadline. Lenders involved
with short sales and foreclosures have not been able to
respond fast enough to allow homebuyers to close. Federal
programs, such as FHA, VA loans and USDA Rural Development
have not always kept up with demand. USDA's single family
home loan guarantee program ran out of funds in early May,
thus eliminating a lending source for qualified homeowners
and builders who had planned on the government program as
early as last year. All of these delays were not foreseen by
homebuyers or even Congress who set 60 additional days as an
appropriate window of time to complete a closing.
We ask that the June 30, 2010 deadline be extended for
those homeowners who entered into a binding contract by April
30, 2010. The Nationals Association of Realtors estimated
that up to 180,000 eligible homebuyers who signed contracts
will be unable to close before the June 30, 2010 deadline. We
support the bipartisan effort in the Senate to include an
extension of the deadline in legislation making its way to
the President and would also support an extension as a
standalone bill. The housing market remains fragile and
vulnerable to the uncertainty created by thousands of
potential homebuyers not knowing if they will receive their
tax credit. Passing an extension sooner rather than later
will help avoid the inertia and bottleneck in home sales
created by the unknown outcome of so many pending closings.
Extending the deadline is the fair thing to do, and so
Congressional action would be both appropriate and beneficial
to thousands of our constituents. H.R. 3548 which extended
the homebuyer tax credit was supported by both sides of the
isle on November 5, 2009 by a vote of 403-12. This provision
was pushed by both Republicans and Democrats who wanted it
extended to April. Therefore, ensuring the tax credit can he
administered efficiently and fairly is shared by both
parties. As you consider additional measures to strengthen
the economy and support job growth we urge to support a fix
to the homebuyer tax credit.
Sincerely,
Joe Courtney; Shelley Berkley; Bob Filner; Solomon P.
Ortiz; Maurice D. Hinchey; Rosa DeLauro; Ike Skelton;
Carol Shea-Porter; Kathy Dahlkemper; John Boozman; John
J. Duncan, Jr.; Jerry Moran; Sanford D. Bishop, Jr.;
Paul Tonko; Gene Taylor; Lincoln Davis; Ileana Ros-
Lehtinen; Kathy Castor; Eddie Bernice Johnson; Nick
Rahall; Madeleine Z. Bordallo; Jim Costa; Frank
Pallone, Jr.; Timothy Bishop; Dean Heller; Chris Van
Hollen; John Boccieri; Ron Paul; Larry Kissell; Dan
Burton; Dina Titus; Thomas S.P. Perriello; Michael E.
McMahon; John Adler; Baron P. Hill; Dennis Cardoza;
Marcy Kaptur; Vernon J. Ehlers; Mike McIntyre; Lloyd
Doggett; John Spratt; Brad Ellsworth; Alcee L.
Hastings; Daniel Maffei; Betty Sutton; Bobby Bright;
Leonard L. Boswell; Donald A. Manzullo; Bruce L.
Braley; Steve Israel; Jerry McNerney; Ruben Hinojosa;
Thomas Rooney; Phil Hare; Timothy J. Walz; Harry E.
Mitchell; Suzanne M. Kosmas; Ander Crenshaw; Deborah L.
Halvorson; Bill Foster; Paul E. Kanjorski; Henry E.
Brown, Jr.; Patrick J. Murphy; Nita M. Lowey; Edolphus
Towns; Howard L. Berman; John Barrow; Brad Sherman;
Steve Kagen; Russ Carnahan; Joe Wilson; Henry Cuellar;
Gerald E. Connolly; Dave Loebsack; Walter B. Jones;
Pete Stark.
Mr. GARY G. MILLER of California. I yield myself the balance of my
time.
As I said, owning a home is a fundamental part of the American Dream,
and I have been honored to introduce this resolution, I think, for the
past 12 years. It is a fundamental part, but that doesn't mean that
everybody necessarily is in a position to own a home at a given time.
And that's something people need to strive for in their lives and look
for in the future.
And if you look at the situation--and my colleague was talking about
FHA--FHA, Freddie, and Fannie are providing about 92 percent of all the
loans in this country. If it were not for that, people in this country
could not buy or sell a home basically because there is not liquidity
in the marketplace to deal with it other than the GSEs.
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But at the same time, we need to understand that underwriting
standards for FHA, Freddie, and Fannie need to be very solid, thereby
not putting any of the agencies or the taxpayers at risk. I think FHA
has done a good job recently increasing their underwriting standards,
requiring people to be in a better position to be able to repay their
mortgages, and this is essential.
The National Association of Realtors is strongly behind this
resolution. Although this is a statement that Congress is making, it
doesn't require any action, it's a significant statement. It's being
made on behalf of the American people who believe they want to own a
home, they have a right to own a home, and if they are in a position to
do that, we are encouraging that.
The Realtors say that 5\1/2\ million taxpayers depend on the NFIP to
protect them from flooding. We are going to deal with that in the next
bill. They also came and supported the resolution we are putting before
us today. So there are two resolutions in a row that are very important
to home ownership in this debate today. The one we have before us is
the concept that people should have a right to own a home.
With that, I yield back the balance of my time, and I ask for an
``aye'' vote on this resolution.
Ms. JACKSON LEE of Texas. Mr. Speaker, I rise in support of H. Res.
1434 to recognize National Homeownership Month and the importance of
homeownership in America. As you know, homeownership is an important
portion of our economy and a central piece of American culture that
lies within the idea of the ``American Dream''.
The idea of homeownership being central to the ``American Dream'' has
a long history. Some believe that its roots date all the way back to
1776, where in the Declaration of Independence, Jefferson stated that
all men have the right to ``life, liberty, and the pursuit of
happiness.'' In American culture, home ownership is often used as a
proxy for the promised prosperity that was to be included in the
interpretation of ``liberty'' and ``happiness.'' In 1931, James Truslow
Adams invented the term ``American Dream'' and used it to exemplify the
idea that with enough hard work, anyone can achieve what they desire in
life. For many Americans, homeownership is a central aspiration and the
key to happiness and prosperity.
Our great nation has long supported this theme in American culture.
In response to the Great Depression and a failing housing industry, the
U.S. government created the Federal Housing Administration in 1934. The
FHA then became a part of the Department of Housing and Urban
Development office in 1965. Together, the mission of these
organizations is to create strong, sustainable, inclusive communities
and quality affordable homes for all. Since its inception in 1934, the
FHA and HUD have insured over 34 million home mortgages and 47,205
multifamily project mortgages. In the 1920s only about 4 out of 10
homes were owned. Thanks to the work of the FHA the homeownership rate
in America is now upwards of 66%. FHA insurance has been especially
important for minority communities, low-income families, and first-time
homebuyers.
Mr. Speaker, homeownership does not only serve as a centralized
American idea, but also as a fundamental source of growing capital and
investment for the American people and economy. The purchase of a home
is one of the biggest investments one can make. It strengthens both a
homeowner's individual economic growth as well as the local communities
as the effects of a growing housing market will trickle down in the
form of jobs, building suppliers, tax bases, schools, and other 3 forms
of revenue. Until recently, the U.S. gross domestic product has always
been very closely tied to the total American housing valuation. Housing
is a form of wealth that increases American consumption and the growth
of the economy.
With consideration to the significance of homeownership in America,
the House recently passed H.R. 5072, the FHA Reform Act of 2010. This
act will serve to crack down on fraud and misrepresentation from
lenders, improve the FHA's internal controls and risk management, and
provide more transparency and information to the public. This act is
crucial to the future growth of the American housing industry, and it
signifies the congressional recognition of the extreme importance of
homeownership in our economy.
For these reasons, Mr. Speaker, I rise in support of H. Res. 1434 to
recognize National Homeownership month and give praise to home owners
in America.
Ms. EDDIE BERNICE JOHNSON of Texas. Mr. Speaker, I rise in strong
support of National Homeownership Month. This month marks the 42nd
anniversary of the landmark 1968 Fair Housing Act which opened the
dialogue of equal homeowner opportunities and growth. National
Homeownership Month continues its same principles by promoting the very
core of American values of fairness, opportunity, and growth.
National Homeownership Month reflects the importance of homeownership
and the American dream. For most Americans, owning their own home will
be their largest and most significant financial investment. It
represents security, builds neighborhood pride, and is essential in
creating positive productive communities.
National Homeownership Month reaffirms the importance of
homeownership in the Nation's economy and its central role in our
national economic recovery. Home affordability and financial education
is the key to overcoming the housing crisis and promote good housing
practices and policies. Financial education not only directly benefits
American families, but, in turn, helps to ensure a robust and strong
economy.
Mr. Speaker, it is vital that we continue to empower people of all
races, economic status, and backgrounds who desire to own their own
home. It is a valuable stabilizer for both families and communities.
Ms. KOSMAS. Mr. Speaker, I have no further requests for time, and I
yield back the balance of my time.
The SPEAKER pro tempore. The question is on the motion offered by the
gentlewoman from Florida (Ms. Kosmas) that the House suspend the rules
and agree to the resolution, H. Res. 1434.
The question was taken.
The SPEAKER pro tempore. In the opinion of the Chair, two-thirds
being in the affirmative, the ayes have it.
Ms. KOSMAS. Mr. Speaker, on that I demand the yeas and nays.
The yeas and nays were ordered.
The SPEAKER pro tempore. Pursuant to clause 8 of rule XX and the
Chair's prior announcement, further proceedings on this motion will be
postponed.
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