On the recordJanuary 8, 2014
I stand regarding the qualified mortgage rule that will go into effect this Friday. This rule is going to have a devastating effect on the housing industry. Once again, the long hand of the Federal Government goes out to dictate policy to the financial industry on whom they should make loans to. Once again, we face another crisis in the housing industry. The Federal Government, frankly, was one of the major culprits in the housing demise that we have just gone through, making easy credit for borrowers. Now they are telling financial institutions clearly the wrong direction in which to go. We need the markets to work. The Federal Government has proven also that they sure cannot handle health care through ObamaCare. Why do we think that the government knows best when it comes to telling community banks and others who they should make their loans to? Fifty percent of the loans made in 2013 will not be made for 2014 with these guidelines. Mr. Speaker, we call for this rule to be delayed for a year to allow Congress to improve it. ____________________
