Today, House Financial Services Committee Chairman Barney Frank (D-MA) released the following statement in response to the White House's announcement regarding the National Affordable Housing Trust Fund. In October of 2007, the House of Representatives approved legislation to create the National Affordable Housing Trust Fund, which was created with the goal of producing, rehabilitating and preserving 1.5 million rental housing units over the next 10 years, but so far has yet to be funded.
"I appreciate the Obama Administration's strong support of two important housing related items that are in the jurisdiction of the Financial Services Committee. The Trust Fund is essential both socially and economically. It will provide relief for low-income people who are unable to find decent affordable housing; and by funding rental housing, it will provide an alternative to pushing people into homeownership who cannot afford it. This combination of a lack of rental housing and an excessive emphasis on homeownership was a contributing factor to our current situation."
"The need for higher loan limits on a regional basis is simply a recognition that housing values are the most geographically variable segment of our economy. This will provide regional fairness, and necessary and appropriate support for homeownership."