House Approves Funds for Federal Housing Administration

The House has passed a bill to provide the Federal Housing Administration with an additional $85 billion in loan committee authority so FHA can continue to insure single-family loans through Sept. 30 without interruption. The bill (H.R. 3357) also provides Ginnie Mae with an additional $100 billion in authority to guarantee the issuance of mortgage securities backed by FHA and other government guaranteed loans. The Department of Housing and Urban Development warned Congress back in June that it had used 75% of FHA's $315 billion in loan commitment authority. Now FHA might have to suspend its single-family program if Congress does not provide additional commitment authority before lawmakers leave Washington for the August recess. The House passed H.R. 3357 by a 363-68 vote. The Senate was debating the bill as MortgageWire went to press.