The Financial Times Reports:
The FHA bill passed the House on Thursday, with support from nearly 40 Republicans, mainly from areas hit hard by the mortgage crisis. However, the measure did not garner enough votes to override a potential veto from the White House. Also on Thursday, the House passed a plan to give local authorities $15bn to buy foreclosed properties, which is also opposed by the administration and many Republicans.
When members of Congress returned from recess in March – at a time of deep concern about the US economy – it looked as if it would be hard for Republicans to prevent efforts to use public money more aggressively to reduce home foreclosures.
But Mr Frank and Chris Dodd, chairman of the Senate banking committee, now seem in a weaker position to dictate the terms of a compromise compared with a few weeks ago, after confirmation of positive first-quarter growth, a better-than-expected jobs report and a rally in financial markets.
Mr. Feeney is one politician, from one of the areas hardest hit by the real estate meltdown no less, who is speaking for the “every man” rather than posturing for votes:[youtube http://www.youtube.com/watch?v=SR5viiRuzaI&hl=en]
Mood swings against US homes rescue
James Politi and Krishna Guha
The Financial Times