Amendment to Ban on Down Payment Assistance Drafted

Last week, the Housing Rescue Bill and the Federal Legislators answered the question

Are Down Payment Assistance Programs Cash Back Fraud??

The new law banned all Seller assisted down payment programs  (DPA's) effective October 1st, 2008

 

Ameridream the leader in Down payment assistance programs responded to the ban Two weeks, ago , I wrote the following article on my blog Wexzilla.com asking the question i

 

"Eliminating charitable down payment assistance will slam the door on over 100,000 teachers, firefighters, working families and others who rely on these programs annually to become homeowners. "

"We will continue to fight on behalf of low and moderate income families to preserve charitable down payment assistance and to help them achieve the American dream of home-ownership."

"In the interim, supporters of down payment assistance should still make their voices heard by visiting www.supporthomeownership.com and telling HUD and Congress to regulate - not eliminate - down payment assistance."

Apparently, your voices were heard.

2 California congressman have drafted a piece of legislation amending the broad ban on DPA programs.

The general idea would be more strict underwriting requirements for those participating in charitable assisted down payments.

I am reading the full draft and will have some further details and my (humble) opinion later today.

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Copyright © James Wexler,  *Ameridream Responds to Ban on down payment assistance Programs*