The House Financial Services Committee has approved by a vote of 50-9 a bill to create a U.S. government agency to fund and oversee the rebuilding of New Orleans and other areas of Louisiana devastated by Hurricane Katrina.The Louisiana Recovery Corp. could buy up residential land and take over mortgages to facilitate redevelopment by private contractors. According to the sponsor of the bill (H.R. 4100), Rep. Richard Baker, R-La., the LRC could pay property owners a minimum of 60% of the homeowners' equity in the home, and the mortgage lender could receive a maximum of 60% of the unpaid principal on the mortgage. The homeowners could have an option to repurchase the property after development, but they would have to pay the market price. The LRC could issue U.S. government-guaranteed bonds and would be allowed to have up to $30 billion in outstanding financing at any one time. H.R. 4100 also directs $13 billion in community development block grant funds to help with redevelopment in the Gulf Coast states hit by hurricanes Katrina and Rita.
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A federal judge in Texas dismissed the Consumer Financial Protection Bureau's medical debt rule and prohibited states from passing their own laws prohibiting medical debt on credit reports.
6h ago -
Dr. Mark Calabria takes on the additional role of chief statistician of the United States; retired Ally Bank executive Diane Morais has joined First Citizens Bancshares' board of directors; MainStreet Bank has promoted Alex Vari to chief financial officer; and more in this week's banking news roundup.
9h ago -
While refinances are behind the latest increases, the pace of purchase activity may be a stronger indicator of where the housing market sits.
11h ago -
The share of economists expecting a September rate reduction grew in the July Wolters Kluwer survey, but the October or later percentage also increased.
11h ago -
Rising home prices and softening sales offer a mixed view of a market that some say is shifting to favor buyers.
July 11 -
The notes are backed by home improvement installment loans originated by approved dealers in Foundation Finance Company's network.
July 11