mortgages, and which lenders have relatively 
high incidences of such delinquent mortgages; 
‘‘(B) SUFFICIENT RESOURCES.—There is 
authorized to be appropriated to the Secretary 
for each of fiscal years 2010 through 2014 the 
amount necessary to provide 90 additional full- 
time equivalent positions for the Department, 
or for entering into such contracts as are nec-
essary, to conduct reviews in accordance with 
the requirements of this section. 
‘‘(2) LENDER
MONITORING.—In conducting 
monitoring and analysis of the performance of lend-
ers for mortgages on single family housing insured 
under this Act, the Secretary shall utilize a one-year 
period for such monitoring and analysis, to promote 
earlier identification of problem lenders and allow 
earlier intervention and sanctions.’’. 
(b) ANALYSIS OF MORTGAGE PERFORMANCE.—Sec-
tion 203(g)(2) of the Helping Families Save Their Homes 
Act of 2009 (12 U.S.C. 1708 note) is amended— 
(1) in paragraph (1), by striking ‘‘and’’ at the 
end; 
(2) in paragraph (2)(B), by striking the period 
at the end and inserting ‘‘; and’’; and 
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(3) by adding at the end the following new 
paragraph: 
‘‘(3) analyze the portion of mortgages randomly 
reviewed pursuant to subparagraph (B) on the basis 
of performance.’’. 
SEC. 6. SENSE OF CONGRESS REGARDING ADEQUATE CAP-
ITAL FLOW FOR MORTGAGE LOANS. 
(a) CONGRESSIONAL FINDINGS.—The Congress finds 
that— 
(1) warehouse lending, which provides short- 
term lines of credit to non-depository lenders for 
mortgage loans that are eventually sold into the sec-
ondary market to Fannie Mae, Freddie Mac and 
Ginnie Mae, is a critical link in the housing finance 
chain; 
(2) according to data obtained pursuant to the 
Home Mortgage Disclosure Act of 1975, nondeposi-
tory lenders that utilize warehouse lines of credit ac-
count for as much as 40 percent of all residential 
mortgage loans in the United States, and nearly 55 
percent of FHA loans, which are increasingly pop-
ular; 
(3) it is estimated that since 2006 warehouse 
lending capacity available to the mortgage lending 
industry has declined by nearly 90 percent to the 
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current level of approximately $20 billion to $25 bil-
lion; 
(4) based upon projected 2009 lending volume, 
there could be a shortfall of hundreds of billions of 
dollars in home mortgage availability caused by a 
lack of warehouse lending capacity; and 
(5) unless Federal regulators promptly address 
the issue, borrowers seeking to take advantage of to-
day’s low interest rates will face rising costs and re-
duced credit access, which could undermine the 
housing market recovery. 
(b) SENSE OF THE CONGRESS.—It is the sense of 
the Congress that— 
(1) the Secretary of the Treasury, the Secretary 
of Housing and Urban Development, and the Direc-
tor of the Federal Housing Finance Agency should 
use their existing authorities under the Emergency 
Economic Stabilization Act of 2008, the Housing 
and Economic Recovery Act of 2008, and other stat-
utory and regulatory authorities to provide financial 
support and assistance to facilitate increased ware-
house credit capacity by qualified warehouse lenders; 
(2) such financial support and assistance 
should— 
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(A) be used only to expand the amount of 
credit or lending capacity made available to 
qualified mortgage lenders by qualified ware-
house lenders for the purpose of funding resi-
dential mortgage loans; 
(B) be provided in such form and manner 
as such Secretaries or the Director, as applica-
ble, consider appropriate, which might include 
direct loans, guarantees, credit enhancement, 
and other incentives; and 
(C) comply with other requirements estab-
lished by such Secretaries or the Director, as 
applicable. 
(c) DEFINITIONS.—For purposes of this section, the 
following definitions shall apply: 
(1) QUALIFIED MORTGAGE LENDER.—The term 
‘‘qualified mortgage lender’’ means an entity that— 
(A) is engaged in the business of making 
mortgage loans for one- to four-family resi-
dences that are— 
(i) insured under title II of the Na-
tional Housing Act (12 U.S.C. 1707 et 
seq.); 
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(ii) guaranteed, insured, or made 
under chapter 37 of title 38, United States 
Code; 
(iii) made, guaranteed, or insured 
under title V of the Housing Act of 1949 
(42 U.S.C. 1471 et seq.); or 
(iv) eligible for purchase by the Fed-
eral National Mortgage Association or the 
Federal Home Loan Mortgage Corpora-
tion; and 
(B) is not a depository institution. 
(2) QUALIFIED
WAREHOUSE
LENDER.—The 
term ‘‘qualified warehouse lender’’ means an entity 
that extends credit to qualified mortgage lenders for 
the purpose of originating mortgage loans described 
in paragraph (1)(A), or that otherwise facilitates the 
origination of such loans by a qualified mortgage 
lender. 
SEC. 7. FORECLOSURE AVOIDANCE INITIATIVES. 
Section 230 of the National Housing Act (12 U.S.C. 
1715u) is amended by inserting after subsection (d) the 
following new subsection: 
‘‘(e) FORECLOSURE AVOIDANCE DEMONSTRATION 
PROGRAMS.—The Secretary may carry out such dem-
onstration programs as the Secretary from time to time 
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