GAO Study Requested by Waters Confirms Homelessness Much Worse Than Previously Reported

On Thursday, Congresswoman Maxine Waters (D-CA), Chairwoman of the House Committee on Financial Services, issued the following statement after the U.S. Government Accountability Office (GAO) released a report entitled, “Homelessness: Better HUD Oversight of Data Collection Could Improve Estimates of Homeless Population,” following Waters’ 2018 request for a comprehensive study on the state of homelessness in America. Specifically, Waters requested that the study focus on factors that have led to recent increases in homelessness and review the methodology used by the U.S. Department of Housing and Urban Development (HUD) and local Continuums of Care (COCs) to determine how many people are experiencing homelessness.

“In 2018, I requested GAO complete a comprehensive study on the homelessness crisis in the U.S. to help us better address its root causes. Unsurprisingly, but troubling enough, the study found that the homelessness crisis in this country is likely worse than current estimates, due to an undercount of youth, immigrants, families, people in rural and remote areas, and those experiencing unsheltered homelessness. The U.S. is one of the richest, wealthiest, countries in the world, and it is shameful that so many across the nation, including in my city of Los Angeles, are living on the streets,” said Chairwoman Maxine Waters. “The truth is that homelessness is a symptom of bigger problems, like America’s rental housing crisis, that for too long have gone unaddressed. We can’t wait any longer to take bold action and it is why Congress must pass my Ending Homelessness Act to ensure every person experiencing homelessness has a place to call home. Now, as COVID-19 cases skyrocket and Republicans refuse to act, I will continue working to prevent an already terrible problem from getting worse.”

See the full text of the release here.

Waters and Clay Slam New Adverse Market Fee That Could Cost Homeowners Thousands of Additional Dollars

On Friday, Chairwoman Maxine Waters (D-CA) and Congressman Wm. Lacy Clay (D-MO), Chair of the Subcommittee on Housing, Community Development and Insurance, issued the following statement after Fannie Mae and Freddie Mac (The Enterprises) announced that refinance mortgage loans sold to them after September 1 will include a new adverse-market refinance fee of 0.5 percent.

“Last weekend, Trump addressed the nation and pretended to understand the struggles of suffering families and took four executive actions that do nothing to provide them with meaningful relief. Now, as further proof that those executive actions were merely for show, and likely as part of Director Calabria’s inappropriate focus on taking steps to release the Enterprises from conservatorship during a national emergency, the FHFA approved a new policy that will make refinancing more expensive for homeowners,” said Chairwoman Maxine Waters. “In recent months, many homeowners have opted to refinance their mortgages to take advantage of historically low interest rates and lower their monthly payments. Imposing thousands of dollars in additional costs on borrowers at a time when the Administration is supposed to be working on methods to help families stay in their homes is just another example of tone-deaf policies put in place by Trump Administration officials who could care less about helping the American people weather this pandemic. I am urging the FHFA to reverse course immediately and allow homeowners a fighting chance.”

“I wish to express my strongest objections to the FHFA’s announcement that Fannie Mae and Freddie Mac will be able to raise prices on American consumers in the throes of a global pandemic. Under dark of night, the agency has, under the guise of a loan-level price adjustment, once again ignored conventional wisdom and added a new penalty that will prevent Americans from taking advantage of lower interest rates. This stealth policy-making deprives consumer groups and industry the opportunity to provide insight and feedback and also serves to further destabilize the fragile finances of many low-income and minority homeowners seeking to work their way over the bridge that is the racial wealth gap,” said Chair Wm. Lacy Clay.

See the full text of the release here.