 George Souto of McCue Mortgage Company is a guest blogger at the Eastern Connecticut Real Estate Blog. He'll be stopping by periodically to keep us updated on mortgage happenings around Connecticut. Mortgage news this year has been predominately dominated by the collapse of Subprime Lenders, and the mortgage reform that has taken place as a result of that. Over the last couple of months we have had two major FHA Bills debated in Washington. The first, was the FHASecure Bill which attempted to address the growing need of assisting Borrowers who have Adjustable Rate Mortgages (ARM’s) that are adjusting before the end of the year. These Borrowers in many cases will be facing substantial increases in their mortgage payments. Unfortunately the FHASecure Bill is going to fall far short of what is needed to assist these Borrowers. But there is a second FHA Bill, the “American Homeownership Act of 2007 Bill: H.R. 1852” that would go a long way to providing the needed relief to these Borrowers, and to first time homebuyers as well. The House passed their version of this Bill on September 18th and the Senate Banking Committee passed their version of the Bill on September 19th. HOWEVER, the two bills do not match therefore they will be sent to a committee to resolve their differences. The House version offers more relaxed guidelines than does the Senate Bill, and provides greater help to does who need to refinance out of ARM’s that will soon be creating financial hardships too many. If you are one of the Borrowers who will be impacted by an ARM that will be adjusting soon, I suggest that you contact our U.S. State Senators Christopher Dodd (202) 224-2823, and Joe Lieberman (202) 224-4041 to vote in favor of this Legislation when in come on the Senate floor for a vote. I would also encourage you to urge them to recommend that the Bill that comes out of committee, closely mirror the House Bill instead of the original Senate Bill. George Souto can be reached at (860) 573-1308 | 
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