WASHINGTON - U.S. Senator Mel Martinez (R-FL) today voted in favor of the Helping Families Save Their Home Act, S. 896. The bill includes a mortgage servicers safe harbor provision that will curb home foreclosures and jumpstart residential loan modifications. In addition, this legislation expands the Hope for Homeowners program, which is aimed at keeping honest homeowners in their homes during these difficult economic times. Last, the bill will increase the borrowing authority of the Federal Deposit Insurance Corporation (FDIC) to help it cope with the increased risk facing the nation's banks. The measure passed in the Senate by a vote of 91-5.
"To fix our nation's economy, we must first stop the downward spiral of home values. This bill does just that by helping to slow the rate of home foreclosures and allowing honest families to stay in their homes." Martinez said. "The safe harbor provision will be especially valuable in giving mortgage servicers the ability to modify home loans while protecting the future of the residential mortgage credit markets. This will hopefully give more homeowners risking foreclosure an opportunity to refinance their mortgages and stay in the homes, while simultaneously protecting the interests of the investors that provide the capital our nation's mortgage market needs."
The legislation now moves to the U.S. House of Representatives for consideration.