Date: 2008-05-07
Speaker: JACKSON LEE (democrat)
Chamber: H
State: Texas

I ask unanimous consent to support this NICH: Regard- very important amendment by the gend Stabilization Support Cor- tleman from Ohio and aswell to enthuamendment to siastically support the $15 billion for communities reclaiming our homes. With that. I offer to submit my state.8. which LISC ment for the RECORD. to help com- The Acting CHAIRMAN. Is there obions of home jection to the request of the gentleipal indicator woman from Texas? and growth of ons of vacant There was no objection. e a corrosive Ms. JACKSONLEE of Texas. Madam ant properties Chairman. I rise in support of H.R. 5818. the properties. re- "Neighborhood Stabilization Act of 2008." in.te. and local- troduced by Congresswoman MAXINE WATERS. r crime. and of California. I would also like to thank Chairbut fragile man BARNEY FRANK for his leadership on the Ortant refine- Financial Services Committee. I also support would direct the Kucinich amendment to ensure accurate .tion of funds vacancy statistics. derateincome I find it interesting that we are okay with a st concentra- bailout of Bear Stearns. the fifth largest investment firm in the amount of 42 million dollars. leadership on however we cannot support assistance to the or vulnerable American Homeowners who are struggling to ho live there. pay their mortgage. fill up at the pump. and :RTS. get quality healthcare. fOr Policy GENERAL INTRODUCTION Development. As evidenced by the numerous housing and Le Kucinich financial services bills introduced this Confunds to the gress. we are in economic turmoil. I have been concerned over recent developments in the housing and mortgage markets and worked with my colleagues to ensure that all Americans are able to get assistance. Legislation such as H.R. 3019. the Expand and Preserve Home Ownership through Counseling Act and H.R. 3666. the Foreclosure Prevention and Home Ownership Protection Act. include sections that speak specifically about foreclosures. They authorize studies on current defaults and foreclosures. as well as possible causes. However. H.R. 5818 provides for action. H.R. 5818 establishes a 15 billion dollar loan and grant program for the purchase and rehabilitation of ownervacated. foreclosed homes. The Department of Housing and Urban Development.(HUD) will make the allocations to the States. 7.5 billion of the funds would be for loans. and 7.5 billion for grants. Beyond negotiating with the mortgage company. Americans need to know they have options. Sometimes it is the mortgage company who has given them a bad loan. H.R. 5818 offers some relief to individuals and families who need help. beyond their personal lender. TEXAS Nationwide. the number of home foreclosures rose nearly 60 percent from February 2007 to February 2008. while foreclosures in -Texas actually decreased 1 percent during the same. period. In fact. statewide foreclosure filings in Texas dropped 17 percent from January to February. Despite being such a large state.. Texas ranks only 17th in foreclosures. below the national average. One reason is that Texas homeowners enjoy strong constitutional protections under the states homeequity lending law. These consumer protections include a 3 percent cap on lenders fees. 80 percent loantovalue ratio (compared to many other states that allow borrowers to obtain 125 percent of their homes value). and mandatory judicial signoff on any foreclosure proceeding involving a defaulted homeequity loan. Even though the rate of increase has showed slowing in the first two months of the year. uncertainties remain. Foreclosures are high and could still beat last years numbers. Harris County. for example. racked up 2.219 foreclosures during the first two months of the year. Thats compared with 1.915 during the same period last year.