WASHINGTON, D.C. – U.S. Rep. Charlie Dent (PA-15) today voted for H.R. 830, the FHA Refinance Program Termination Act, which eliminates an ineffective loan refinancing program backed by $8 billion in Troubled Asset Relief Program (TARP) funds. In March 2010, the Obama Administration created the FHA Refinance Program with the goal of assisting homeowners in refinancing existing home loans with the support of the Federal Housing Administration (FHA). Nearly a year later, a TARP progress report completed by the Department of Treasury revealed only $50 million of funding has been dispersed through the program, while a mere 44 loans have been refinanced.
“Though well-intentioned, the FHA Refinance Program has proven to be an ineffective use of limited federal resources,” Dent said. “Washington must ensure American tax dollars are invested in a shrewd manner and work to eliminate programs that fall short of producing desired results. As Congress continues to identify ways to reign in excessive federal spending, the termination of an $8 billion dollar program that has helped to refinance a meager 44 home loans is logical and appropriate.”
Throughout the housing crisis, Dent has hosted numerous forums in the 15th District that linked local homeowners to federal, state and local resources to assist them in preventing foreclosures and implementing strategies to manage their mortgages. Those interested in acquiring more information on foreclosure mitigation options, please contact Dent’s District office in Bethlehem at (610) 861-9734.