According to the president of the Federal Home Land Bank (FHLB) of New York, Alfred DelliBovi says the need for affordable housing is becoming critical, especially as the availability of federal funds for housing decreases. As MHProNews has learned from nationalmortgagenews, each of the banks’ 11 districts has an Affordable Housing Program which is required to set aside ten percent of its private earnings to support housing for low income residents. He says given the state of the sluggish economy, it’s difficult for those of modest means to save enough for a down payment, and as former deputy director of the Department of Housing and Urban Development, he knows the importance of assistance. Calling the Dodd-Frank Act “deadening,” “poorly constructed” and “costly,” he says legislators pass laws telling someone else to enforce the rulings without understanding the root cause or knowing the full impact of the legislation. “Reducing risk sounds like a great idea, but if you do it to the point where business is impossible, that’s crazy,” he adds.
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