Another Housing Bubble

Floor Speech

Mr. WILSON of South Carolina. Mr. Speaker, American Enterprise Institute fellows Peter Wallison and Edward Pinto have warned, ``It is hard to believe, but it looks like the government will soon use the taxpayers' checkbook again to create a vast market for mortgages with low or no down payments and for overstretched borrowers with blemished credit. As in the period leading to the 2008 financial crisis, these loans will again contribute to a housing bubble.''

They go on to state, ``The goal of Congress and regulators should be to foster the residential mortgage market's return to the standards that used to prevail in 1990, before the affordable housing requirements were imposed on Fannie and Freddie.''

We should fix the current problem. For starters, the Dodd-Frank Act needs to be amended so that quality standards are applied to FHA and other government agencies. This should not impair credit availability for the important home-building and real estate industries.

As a former real estate attorney, I know the government should not overwhelm homeowners with mortgages they cannot afford. This destroys neighborhoods and families.

In conclusion, God bless our troops, and we will never forget September the 11th.

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