I’ll post the form letter I got as a reply from Bilbray. In a nutshell it says:
1. The subprime loan and new mortgage products offered
over the last 10 years were a good thing because
they gave more people the opportunity to achieve
the American dream.
2. This practice should be continued.
3. We all need to pitch in help people who can’t
afford their mortgages and prevent foreclosure.
4. I’m gonna try to make it easier for people to draw
upon their retirement money to pay their bills now.
Here’s the form letter:
Thank you for taking the time to contact me regarding the nation’s current housing situation. I appreciate hearing from you on this important issue.
Home ownership has always been a central tenet of the American dream and the economic booms of the 1990’s and the 2000’s have opened that dream up to more American families than ever before. Unfortunately, increasing numbers of Americans are finding themselves unable to meet rising mortgage costs, particularly those with adjustable mortgage rates and are heading toward foreclosure. While it is important to remember that over 94% percent of home mortgages are not delinquent or in the process of foreclosure, according to the National Delinquency Survey, the prospect of losing a home is devastating..
Government can, find ways to help responsible Americans continue to afford homes and help those heading toward foreclosure access money they need in order to avoid it. To achieve this first principle I have cosponsored H.R.5670, which would create a $10,000 tax credit that will expire after twelve months for the purchase of a home. To avoid abuse, this credit can only be used once, can only be used for primary residences and is only applicable to homes that meet Government Sponsored Enterprise’s conforming loan limits prior to the economic stimulus package. To address the second principle, I have cosponsored H.R. 5641, the IRA Assistance Act. This bill would allow individuals to take a loan of up to $50,000 from a traditional IRA plan for economic hardship reasons without having to pay a 10 percent penalty if the loan is repaid within five years. This would bring traditional IRAs into line with what is already possible with 401(k) plans. Currently, 30 million Americans contribute to IRAs and the passage of this bill would enable them to draw from their IRAs in order to avoid foreclosure. Together these bills will enable the dream of home ownership to be both maintained and expanded without costing taxpayers additional money.
Again, thank you for contacting me. If you have further questions, please call me or my office at (202) 225-0508.
