    [Public Papers of the Presidents of the United States: George W. Bush (2004, Book I)]
    [March 27, 2004]
    [Pages 474-475]
    [From the U.S. Government Publishing Office www.gpo.gov]

    The President's Radio Address
    March 27, 2004

        Good morning. This week brought good news about homeownership in
    America. The Census Bureau reported that new home sales in February rose
    to an annual pace of 1.16 million homes, a 24-percent increase over the
    past year. This success follows one of the most impressive years in
    America's housing industry. More homes were sold in 2003 than ever
    before. Housing starts last year were at their highest level in a
    quarter century. Rising home values have helped take the wealth of
    American households to a new record level.
        In our growing economy, more Americans can afford a new home.
    Incomes are rising. The unemployment rate is falling. Mortgage rates are
    low. And because of tax relief, Americans have more to save, spend, and
    invest, and that means millions of American families have moved into
    their first homes.
        Our Nation's 68-percent homeownership rate is the highest ever, and
    our Government is taking steps to make owning a home a reality for more
    Americans, especially minorities and those with low incomes. In June
    2002, I set the goal of adding 5.5 million new minority homeowners in
    America by the end of this decade. Since then, more than 1.5 million
    minority families have moved into houses of their own, and for the first
    time, most minorities own their own home.
        We are building on this progress. I have signed into law the
    American Dream Downpayment Act, which will help low-income Americans to
    afford the downpayment and closing costs on their first home. I'm asking
    Congress to provide an annual $200 million for this program. That
    additional money would help an estimated 40,000 low-income families
    every year become first-time homeowners. I'm proposing that we make zero
    downpayment loans available to first-time buyers whose mortgages are
    guaranteed by the Federal Housing Administration. And this will help
    about 150,000 families buy homes in the first year alone.
        Another obstacle to homeownership is the often complicated process
    of buying a home and getting a loan. My budget for 2005 would more than
    double funding for housing counseling services from 2001 levels. A house
    and a mortgage represent a big personal commitment, and we want to
    prepare more Americans to make that commitment with confidence. To make
    homeownership attainable for more of our citizens, I have asked Congress
    to create a tax credit to encourage the construction of affordable
    homes. Under my proposal, builders will have an incentive to provide an
    additional 200,000 affordable homes over 5 years for families with low
    incomes.
        And finally, we are encouraging the real estate and mortgage finance
    industry to join in our efforts in closing the homeownership gap. More
    than two dozen major companies and organizations have committed to
    extending more loans to low-income families, financing the construction
    of more affordable homes, and providing financial counseling to
    potential buyers. These policies will make a difference in the lives of
    millions of Americans.
        This week, I met with Lori Benavidez, a
    single mom living in Albuquerque, New Mexico. Last November, with the
    help of a Federal homeownership program, she moved into her first home.
    Here's what Lori says: ``I never thought the day would happen when my
    girls and I would be sitting in our own home. It is a miracle.''
        Every time a family moves into a home of their own, it fulfills a
    dream and it shows faith in the future. And that faith is well-placed
    because America's economy is strong and it is getting stronger.
        Thank you for listening.

    [[Page 475]]

    Note: The address was recorded at 7:03 a.m. on March 26 in the Cabinet
    Room at the White House for broadcast at 10:06 a.m. on March 27. The
    transcript was made available by the Office of the Press Secretary on
    March 26 but was embargoed for release until the broadcast. The Office
    of the Press Secretary also released a Spanish language transcript of
    this address.