At a recent gathering of commissioners, strong support for the Federal Housing Administration was expressed.
Lawmakers in Congress who are raising alarms about the FHA needing a bailout and supporting legislation to change the way it does business are missing the indispensable role it played in protecting the housing market from a far worse collapse during the downturn, stated a report published by the National Association of Realtors.
FHA Commissioner Carole Galante said the agency took its first “mandatory draw” on U.S. Treasury funds a month ago because of bad loans it insured during the downturn, a policy decision made at the time to shore up the mortgage market when no other entity was making loans in any significant amount. “We did what we needed to do,” she explained.
Read the full report here.