THE MORTGAGE INSURANCE FAIRNESS ACT OF 2005 -- (Extensions of Remarks - June 28, 2005)
HON. PAUL RYAN
IN THE HOUSE OF REPRESENTATIVES
TUESDAY, JUNE 28, 2005
Mr. RYAN of Wisconsin. Mr. Speaker, I along with my colleague Congressman WILLIAM JEFFERSON, have introduced the Mortgage Insurance Fairness Act. Our bill would allow residential mortgage borrowers to deduct as an itemized deduction for mortgage insurance premiums for private mortgage insurance, FHA insured mortgages, VA insured mortgages and GRH insured mortgages. Residential mortgage borrowers with annual incomes of $100,000 or less would be eligible for this tax deduction.
Nationwide, mortgage insurance is a critical factor in allowing minorities and middle income families to become homeowners. Mortgage insurances covers 57 percent of mortgage purchase loans made to African American and Hispanic borrowers and 54 percent of the loans to borrowers with income below the median income. This legislation will benefit the 12 million American families who presently use mortgage insurance.
In Wisconsin alone, this legislation would benefit 124,000 families. Insured mortgages made up 35 percent of home purchase loans in Wisconsin and cover 49 percent of home purchase loans by minorities and low income home buyers.
Mr. Speaker, homeownership is a vital part of creating safe communities and a vital part of our Nation's economy. I urge my colleagues to join us in promoting homeownership and support this important bill.