Obama hailed the legislation in his State of the Union speech last week, saying that the proposal would help more homeowners with mortgage backed by Fannie Mae and Freddie Mac to take advantage of low interest rates to refinance their loan.
Even with mortgage rates near a minimum of 50 years, Obama said, too many families who have never missed a payment and want to refinance are turned down.
"Which is now our back together from the economy, and we need to solve this problem," said the President. "At the present time, there is a Bill in Congress that would give every responsible owner in America the chance to win $3,000 a year by refinancing at current rates. Democrats and Republicans have previously supported. ?
Slow recovery of the economy from the recession gives the urgency of the idea, said Obama. "Send me the Bill," he told members of Congress, listening to his speech to the Chamber of the House.
The proposal is part of a push by Democrats and the White House to help the owners to take advantage of the low rates of interest as a way to help the housing market to recover and give the economy a shot in the arm.
While the Bill could gain ground in the Senate under democratic control, he faces a rough road in the GOP - run House, where many Republicans favor scaling back the role of the Government in the housing market as a way to help the economy. Similar versions of the measure died in lame duck House and Senate sessions last year.
"For the moment, it's an uphill battle," said Rep Peter Welch, VT - D, which has the intention to present the version of the House Bill.
Welch said to reach Republicans this year hoping to build more support, but association of the law with the Government-controlled Fannie Mae and Freddie Mac, the housing agencies federal partly blamed for the collapse of the housing market, makes its base among legislators of GOP support.
"American taxpayers have already leaked $ 190 billion in operations of Fannie and Freddie," said Rep. Randy Neugebauer, R-Texas, Member of the Committee of the Services financial House. "It is time that slow down us their operations to be used as a piggy bank for programs failed this new delay the housing recovery."
In the Senate, Democrat Bob Menendez of New Jersey and Barbara Boxer of California have legislation to help borrowers who are current on their loans backed by Fannie Mae and Freddie Mac, but who are not able to refinance because their home values have fallen too much.
Nearly 12 million owners have loans from Fannie Mae and Freddie Mac and benefit from refinancing, the two Senators said. Many cannot refinance to a lower rate because of the bureaucracy and the high fees. The bureaucracy has reduced competition between the banks, so that borrowers pay higher interest rates than they would if they were able to do the trick as well, according to the senators.
The Bill would also reduce the up-front fees that borrowers pay on refinancing and eliminate the costs of assessment for all borrowers. The measure aims to develop affordable home program administration Obama's refinancing, which recorded an average homeowner about $2,500 per year, they said.
"Owners will have more money in their pockets, Fannie and Freddie will see fewer foreclosures and the housing market and the economy will continue to pulse," said Boxer.
Supporters of the Bill are the Mortgage Bankers Association, the National Association of Realtors and the National Association of Home Builders.
"This is another tool that can be there to help stabilize the housing market and revive the economy if consumers can, in fact, another $100 dollars in their pockets every month," said John Hudson, President of Government of the Association of professionals in the mortgage business.
Similar proposals of Boxer and Menendez got last year mired in the Senate Banking, housing and Urban Affairs Committee. Republican attempts to add amendments on other issues of housing beyond refinancing has led to an impasse.
Twenty Democrats senators are sponsors of the Bill this year, but no Republicans have signed.
"I support to find ways to streamline refinancing intelligently, but I'm not sure that eliminating all of the required documents is logical, said GOP Senator Bob Corker of Tennessee, Member of the Committee. '" " I also think that we must quickly go beyond the short-term recovery and begin to focus on structural issues in our housing finance system. ?
Senator Mike Crapo, Summit of the Republican Committee, declined by a spokesman to comment on the Bill.
Welch House project is also died during the last Congress. Republican Welch accused of not wanting to give a boost to Obama election year passing the mortgage refinancing measure.
"Last year was even more difficult because it was an election year," said Welch. "The Republican leadership wanted Obama to failure."
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