House OKs $300B Mortgage Rescue Plan, Backs Up Fannie and Freddie

The House just ok’d a $300 billion (yes, with a "b") mortgage rescue plan that includes backing up Fannie Mae and Freddie Mac. The plan is aimed at rescuing troubled homeowners and backing up Fannie and Freddie to help ease the housing meltdown (aka foreclosure, mortgage and credit crisis).

There are many proponents of the plan and an equal number of critics. Either way, it looks like the legislation will go through - President Bush said he’d sign it and the Senate is likely to approve it (though the Senate is not sure when).

"This isn’t a perfect solution by any means," said Rep. Barney Frank, D-Mass., chairman of the House Financial Services Committee. But, he added, it enjoys support from a broad and unlikely coalition, including bankers, housing advocates, governors and mayors struggling with the foreclosure crisis.

For more on the story, click here, here and here.

UPDATE: Senate ok’s the mortgage rescue plan today. President Bush set to sign off on it soon.