House Passes Sweeping Bill for Homeowner Aid

Washington, DC, July 24, 2008--The House of Representatives approved a sweeping bill to aid homeowners and prop up Fannie Mae  and Freddie Mac on Wednesday.

By a vote of 272 to 152, the House passed a plan to authorize unlimited credit to Fannie and Freddie, allow the government to insure up to $300 billion in refinanced mortgages and extend a tax break of as much as $7,500 to first-time home buyers.

The Senate is expected to act on the bill later this week and President Bush is expected to sign it after dropping a threat to veto it over a $4 billion program allowing local governments to buy foreclosed homes.