Housing Rescue Bill

This bill will help houseowners facing foreclosure. Some of the features of the bill are:

1. 
   New standard property tax deduction of $500 for individuals and double that for couples who do not itemize deductions.


2. 
   There will be a $7000 1-year tax credit for purchasing foreclosed homes.


3. 
   For use as low-income rentals or for buying foreclosed property for reselling, local government to get grants amounting to $4 billion.


4. 
   For refinancing sub-prime loans, local housing agencies would be able to avail $10 billion in tax exempt bonds & $100 million for expanding counseling for people who are at risk of default.


5. 
   FHA loans will have down payment requirement up at 3.5% from present 3%.