Homebuilders storm the Hill

A foreclosure sign hangs in front of a home in Miami.

TEXT OF STORY

SCOTT JAGOW: The National Association of Homebuilders is bringing 1,300 members to Washington today. They're looking for help in solving this subprime lending mess. More now from Steve Henn:

STEVE HENN: It's an annual summer time ritual: A veritable army of homebuilders is heading to Congress to flex its political muscle.

Jerry Howard is the CEO of National of the Association of Homebuilders.

JERRY HOWARD: Two or three years ago we were proud to go up to the Hill and talk to members of Congress about how we were keeping the economy afloat. Now it's the exact opposite.

Howard says many of his members are in sinking in real estate market that's been flooded with foreclosed homes and is awash in bad loans.

Howard would like Congress to make it easier for Federal Housing Administration or FHA to help troubled borrowers refinance their loans.

David Berenbaum at the National Community Reinvestment Coalition is an unlikely ally.

DAVID BERENBAUM: We do believe there is a place for the FHA to repackage loans or to refinance loans to we don't have a mortgage tsunami across the country.

Already this year more than half a million people have lost homes. And if you have an adjustable rate mortgage, you could feel the pinch soon.

In Washington, I'm Steve Henn for Marketplace.

TEXT OF STORY

SCOTT JAGOW: The National Association of Homebuilders is bringing 1,300 members to Washington today. They're looking for help in solving this subprime lending mess. More now from Steve Henn:

STEVE HENN: It's an annual summer time ritual: A veritable army of homebuilders is heading to Congress to flex its political muscle.

Jerry Howard is the CEO of National of the Association of Homebuilders.

JERRY HOWARD: Two or three years ago we were proud to go up to the Hill and talk to members of Congress about how we were keeping the economy afloat. Now it's the exact opposite.

Howard says many of his members are in sinking in real estate market that's been flooded with foreclosed homes and is awash in bad loans.

Howard would like Congress to make it easier for Federal Housing Administration or FHA to help troubled borrowers refinance their loans.

David Berenbaum at the National Community Reinvestment Coalition is an unlikely ally.

DAVID BERENBAUM: We do believe there is a place for the FHA to repackage loans or to refinance loans to we don't have a mortgage tsunami across the country.

Already this year more than half a million people have lost homes. And if you have an adjustable rate mortgage, you could feel the pinch soon.

In Washington, I'm Steve Henn for Marketplace.

About the author

Steve Henn was Marketplace’s technology and innovation reporter for the entire portfolio of Marketplace programs until December 2011.

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