The U.S. Senate passed a bipartisan mortgage rescue bill last Friday that allows the Federal Housing Administration to refinance troubled mortgages – even those that are under water – as long as banks agree to take a loss. The program would allow the FHA to help as many as 400,000 home owners. Now the bill goes to a bipartisan committee in the House for revision. The measure includes higher limits for FHA loans and creates a new regulator for Fannie Mae and Freddie Mac. It also would provide $14.5 billion in housing tax breaks, including a credit of up to $8,000 for first-time homebuyers.  Thanks to those Lehigh Valley Realtors who responded to the Call to Action.

source: Lehigh Valley Association of Realtors