The House of Representatives approved a continuing funding resolution (CR) early Thursday morning that extends the $729,750 maximum loan limit for Fannie Mae, Freddie Mac and Federal Housing Administration (FHA) single-family loans until Sept. 30, 2011.
The House measure passed by a 228-194 vote at 12:18 a.m. Thursday morning.
Late Wednesday the Senate passed its CR containing the GSE measure by a 69-30 vote. The president is expected to sign the measures Thursday.
The CR also extends the $625,500 loan limit for FHA-insured reverse mortgages and provides an additional $20 billion in loan commitment authority for the agency's multifamily program.
The Mortgage Bankers Association (MBA) said the loan limit extensions are critical to the mortgage market.
"Extending the existing limits is essential to helping borrowers continue to have access to affordable long-term, fixed-rate mortgage credit in today's struggling economy," said MBA Chairman Robert Story.