The Michigan State Housing Development Authority applauded the Michigan Congressional Delegation in a press statement yesterday, for their work in helping pass the Economic Recovery Act of 2008, which was recently signed by President Bush.
Interim Executive Director of the MSHDA, Keith Molin said, “The passage of H.R. 3221 gives Michigan another strong and effective tool to advance Governor Granholm’s Save the Dream initiative, which offers homeowners mortgage refinancing options and foreclosure prevention counseling. We are grateful to the members of Michigan’s Congressional delegation who supported the legislation and the much-needed assistance it will bring to hundreds of thousands of Americans, many of them right here in Michigan, who are under pressure to keep their homes.”

Some of the features of the act that the MSHDA highlighted was the fact that the bill outlines for an $11 billion 2008 Housing Bond cap increase, a 10 percent Housing Credit cap increase in 2008 and 2009, and a new FHA foreclosure financing program.
Other features include:
$180 million for foreclosure mitigation counseling and legal assistance
$3.29 billion in neighborhood stabilization funding
First-time homebuyer credit worth up to $7,500 for purchases on or after April 9,2008 and before July 2, 2009
Although Molin called the Housing and Recovery Act “the most comprehensive housing legislation in many years” he acknowledged that some homeowners may undergo foreclosure before the foreclosure avoidance program starts on October 1. He said that, “Relief is in sight, but homeowners must make the effort to fully explore every option available” and advised homeowners who are struggling to contact their lenders now and not to wait until October.