The plan passed on 04-23-08 will provide up to 15 billion in loans and urban grants to municipal governments to purchase foreclosed homes and revitalize them. The panel also voted to provide legal protection from investors to mortgage servicers who are willing to help borrowers avoid foreclosure. This means that more people are now likely to be able to get a work-out or reworked loan directly with the bank that holds or services the mortgage. This is just a small part of the legislation being pushed by Democrats.

The vote did pass despite opposition from house republicans who traditionally argued against any kind of government help or regulation for foreclosure issues, saying it could encourage further housing problems. Democrats stated that more needs to be down to slow down the housing crisis and to protect local governments and there now eroding tax revenue from properties.

This piece of passed legislation marks the governments effort to help the current economic downturns and will be of great benefit to hard hit communities. However republican opposition to housing bills still remains an issue especially since a board based plan to help the average American is expected to go up for a vote shortly.