Housing Bills Will Help Homeowners and Economy

Business Wire, April 10, 2008

WASHINGTON -- The National Association of Home Builders (NAHB) today applauded House and Senate legislation to address the housing crisis and economic slowdown.

"The bills passed this morning by the full Senate and yesterday by the House Ways and Means Committee are an important step in the process of enacting comprehensive housing legislation that will shore up housing and the economy," said Jerry Howard, executive vice president and CEO of NAHB. "We will continue to work on a bipartisan basis with lawmakers in both chambers and with the Bush Administration to produce the most effective legislation to help ailing homeowners and restore consumer confidence."

The House and Senate versions contain several provisions that will help home buyers, homeowners, strapped borrowers facing foreclosure, state and local governments experiencing budget woes, veterans and businesses suffering losses in the current economic climate.

But one provision stands out as the most effective means to boost housing demand and stabilize the market, according to Howard.

"Enacting a broad, temporary tax credit for the purchase of a home would provide the best stimulus for housing and the economy," he said. "We urge House and Senate lawmakers to keep this in mind as they move to bridge their differences and enact into law the best possible bill to help distressed homeowners and to jump-start housing and the economy."

The Federal Reserve has already taken aggressive measures to stabilize financial markets and increase liquidity in the credit markets. The central bank has also taken unprecedented actions to make funds available for investment banks squeezed for credit.

"The Fed has done its part to prop up Wall Street. We are looking to Congress to swiftly pass comprehensive housing legislation to help home buyers and homeowners on Main Street and businesses. Taken together, these measures will help to avoid an economic downturn and stabilize financial markets globally," said Howard.

ABOUT NAHB: The National Association of Home Builders is a Washington, D.C.-based trade association representing more than 235,000 members involved in residential building, remodeling, multifamily construction, property management, subcontracting, design, housing finance, building product manufacturing and other aspects of residential and light commercial construction. Known as "the voice of the housing industry," NAHB is affiliated with more than 800 state and local home builders associations around the country. NAHB's builder members will construct 80 percent of the more than 1.08 million new housing units projected for 2008.