Home ownership is one of the foundation stones of the American dream. Renewing and expanding this dream is one of my Administration's highest priorities and deepest commitments.
Our economic plan, which did so much to lower interest rates, has helped make homes affordable for more people. As more Americans realize that home ownership is within their reach, many of them turn to the Department of Housing and Urban Development (HUD) and the Government National Mortgage Association (Ginnie Mae) for Government assistance. These programs, some of which operate at a profit to the Federal Government, have enabled millions of Americans to enjoy the pride and sense of accomplishment that come with owning your own home.
As new home purchases and refinancings continue at a rapid rate, single-family home purchasers will soon be unable to do business with the Federal Housing Administration (FHA) and Ginnie Mae—absent corrective action—because the increased demand for loans has exhausted their loan authority. That is why the Congress, acting responsibly and in a fiscally prudent manner, adopted a supplemental appropriation to replenish these funds. Today I am signing into law H.R. 4568, which provides a supplemental appropriation for HUD and Ginnie Mae so that these agencies can continue their good work in helping low- and middle-income Americans build their piece of the American dream.
Specifically, the Act provides: (1) increased loan commitment authority of $35 billion for the FHA Mutual Mortgage Insurance program; (2) increased Ginnie Mae loan guarantee commitment authority of $55 billion; (3) an increase of $3 billion in loan volume for condominium and other housing insurance programs; and (4) an additional $18 million in budget authority to subsidize mortgages for the purchase or construction of rental housing. Equally important, this legislation will not add a penny to the Federal deficit. So, as we continue putting our fiscal house in order, this legislation will ensure that home ownership becomes the order of the day for more and more Americans.
WILLIAM J. CLINTON
The White House, July 5, 1994.