Q: In this task, you are given text for US Congressional and California state bills, your task is to generate a summary for this bill.
SECTION 1. SHORT TITLE.

This Act may be cited as the ''Affordable Mortgage for Homeowners
Act of 2011''.

SEC. 2. PRINCIPAL REDUCTION OF MORTGAGES OWNED OR GUARANTEED BY FANNIE
MAE AND FREDDIE MAC.

(a) Program Authority.--The Federal National Mortgage Association
and the Federal Home Loan Mortgage Corporation shall each carry out a
program under this section to provide for the reduction of the interest
rates on qualified mortgages on single-family housing owned or
guaranteed by such enterprises, in accordance with this section and
policies and procedures that the Director of the Federal Housing
Finance Agency shall establish.
(b) Timing.--Each enterprise shall commence the program required
under subsection (a) upon the expiration of the 90-day period beginning
upon the date of the enactment of this Act and shall complete all
reductions of the interest rates of qualified mortgages required under
the program not later than the expiration of the 12-month period
beginning upon the commencement of such program.
(c) Interest Rate Reduction.--In reducing the interest rate on a
qualified mortgage under a program of an enterprise required under this
section, the enterprise shall reduce the annual rate of interest
charged with respect to the outstanding principal obligation of the
mortgage for the remainder of the term of the mortgage, notwithstanding
whether the interest rate under the mortgage is otherwise subject to
adjustment during such mortgage term, to a fixed interest rate that is
the lesser of--
(1) 4 percent annually; or
(2) the rate for a 30-year fixed rate mortgage, as most
recently published in the Weekly Primary Mortgage Market Survey
of the Federal Home Loan Mortgage Corporation, as of the time
of such interest rate reduction for such qualified mortgage.
(d) Exempt Mortgages.--The Director shall provide that the
following qualified mortgages shall not be subject to reduction of the
interest rate under a program under this section:
(1) Fixed-rate mortgages.--In the case of a qualified
mortgage having a rate of interest that is fixed for the entire
term of the mortgage, any mortgage having such an interest rate
that is a lower than the interest rate determined for the
mortgage under subsection (c).
(2) Adjustable-rate mortgages.--In the case of a mortgage
having a rate of interest that is subject to adjustment during
the term of the mortgage, any mortgage for which the interest
rate cannot, as a result of the terms of the terms and
conditions of the mortgage, exceed the interest rate determined
for the mortgage under subsection (c) at any time during the
term of the mortgage.
(e) Option to Opt-Out.--Each program of an enterprise required
under this section shall provide for the enterprise to--
(1) notify the mortgagor under a qualified mortgage in
writing, before the proposed reduction of the interest rate on
qualified mortgage of the mortgagor, of--
(A) such proposed reduction and the interest rate
applicable to the mortgage upon such reduction; and
(B) the opportunity, in accordance with paragraph
(2), for the mortgagor to request that no such interest
rate reduction be applied with respect to such
mortgage; and
(2) forego such interest rate reduction with respect to the
qualified mortgage of a mortgagor upon receipt by the
enterprise of a request by the mortgagor that no such interest
rate reduction be applied with respect to such mortgage.
(f) Maintenance of Loan Status.--Any reduction of the interest rate
on a qualified mortgage under a program under this section shall not
result in the treatment of the modified mortgage as a new mortgage.
(g) Definitions.--For purposes of this section, the following
definitions shall apply:
(1) Director.--The term ''Director'' means the Director of
the Federal Housing Finance Agency.
(2) Enterprise.--The term ''enterprise'' means the Federal
National Mortgage Association and the Federal Home Loan
Mortgage Corporation.
(3) Qualified mortgage.--The term ''qualified mortgage''
means a mortgage, without regard to whether the mortgagor is
current or in default on payments due under the mortgage,
that--
(A) is an existing first mortgage that was made for
purchase of, or refinancing another first mortgage on,
a one- to four-family dwelling, including a condominium
or a share in a cooperative ownership housing
association, that is occupied by the mortgagor as the
principal residence of the mortgagor;
(B) is owned or guaranteed by the Federal National
Mortgage Association or the Federal Home Loan Mortgage
Corporation; and
(C) was originated on or before the date of the
enactment of this Act.
(h) Regulations.--The Director shall issue any regulations or
guidance necessary to carry out the programs required under this
section not later than the expiration of the 90-day period that begins
on the date of the enactment of this Act.
A:
Affordable Mortgage for Homeowners Act of 2011 - Directs the Federal National Mortgage Association (Fannie Mae) and the Federal Home Loan Mortgage Corporation (Freddie Mac) each to carry out a program to provide for the reduction of the interest rates on qualified mortgage mortgages (other than fixed-rate or adjustable-rate mortgages) on single-family housing owned or guaranteed by such enterprises, in accordance with policies and procedures that the Director of the Federal Housing Finance Agency (FHFA) shall establish.

Requires each program to provide a procedure for mortgagors to opt-out of an interest rate reduction.