The Mortgage Bankers Association (MBA), along with the National Association of Realtors (NAR) and the National Association of Homebuilders (NAHB), has sent a letter to House Speaker Nancy Pelosi, House Minority Leader John Boehner, Senate Majority Leader Harry Reid and Senate Minority Leader Mitch McConnell calling for an extension of the current loan limits for Fannie Mae, Freddie Mac and the Federal Housing Administration (FHA). The current limits are slated to expire after Dec. 31, 2009.
The letter explains that the market and consumers are already feeling the impact of the impending expiration of the existing limits. Therefore, the letter calls on Congress to act quickly in order to limit the uncertainty that is causing lenders to limit rate locks and refuse to underwrite some loans at current interest rates.
For a copy of the joint letter, click here.