The Senate late Thursday approved an amendment to restore the $729,750 maximum loan limit on government-back mortgages for two more years.

Sponsored by Senators Robert Menendez, D-N.J. and Johnny Isakson, R-Ga., the measure rolls back the Oct. 1 reductions in Fannie Mae, Freddie Mac and FHA/VA loan limits in high cost areas. The expiration of the higher loan limit has "made a weak housing market even weaker,” said Menendez during the Senate debate. “If we don't get that weak housing market moving again, we won't get the kind of robust economic recovery that Americans deserve.”

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