Click on each of the following links to find MBA’s public statement, an MBA summary of the plan and an executive summary, fact sheet and Q&A document from the White House.

February 17, 2009: President Obama Signs the Economic Stimlus Package

President Obama signed H.R. 1, the "American Recovery and Reinvestment Act of 2009" into law on February 17, 2009. The $787 billion legislation represents significant compromise on several major issues. For example, President Obama's promised middle-class tax cut has been reduced and the state fiscal stability fund, to be spent mostly on education, saw a $25 billion reduction.

On the real estate front, the bill restores 2008 government-sponsored enterprises (GSE) and Federal Housing Administration (FHA) loan limits for the 2009 calendar year and increases the Home Equity Conversion Mortgage (HECM) limit to $625,500. The bill voted on today also increased the $7,500 First Time Homebuyer Credit-enacted under the Housing and Economic Recovery Act (HERA)-to $8,000 and extends the credit to December 1, 2009, with no repayment requirement. MBA was working to increase the credit to $15,000 or ten percent of the area median house price, and to have the credit available at closing. The bill allows small businesses-enterprises with less than $15 million in annual revenues-to elect a five-year Net Operating Loss (NOL) carryback incurred for tax years ending or alternatively, beginning in 2008.

January 9, 2009: MBA Testifies on FHA Oversight

On Friday, January 9, MBA President and CEO John A. Courson testified before a House Financial Services Committee hearing on "FHA Oversight of Loan Originators." Courson's testimony focused on the need to provide both Federal Housing Administration (FHA) and Ginnie Mae with more staff and newer technology so they can better serve the housing market, improve the quality of FHA originations and reduce mortgage fraud. During the hearing, Courson also explained the negative consequences mortgage cram down legislation would have on FHA and Ginnie Mae programs. These outcomes were also agreed upon by HUD Deputy Assistant Secretary for Single Family Housing Programs Phillip Murray.

Read Testimony by MBA's President and CEO John A. Courson.

Background and Resources

The Federal Housing Administration (FHA), is the largest government insurer of mortgages in the world, insuring over 35 million properties since its inception in 1934. Currently, FHA has 4.8 million insured single-family mortgages and 13,000 insured multifamily projects in its portfolio.

A part of the United States Department of Housing and Urban Development (HUD), FHA provides mortgage insurance on loans made by FHA-approved lenders throughout the United States. While FHA insured loans must meet certain requirements established by FHA to qualify for the insurance, lenders bear less risk because FHA pays the lender if a homeowner defaults on his or her loan.