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Assembly Committee Approves Cervantes Resolution to Help Homeowners

For immediate release:

(SACRAMENTO) – Today, the Assembly Housing & Community Development Committee approved Assembly Joint Resolution (AJR) 4 by Assemblymember Sabrina Cervantes (D-Corona) and Assemblymember Sharon Quirk-Silva (D-Fullerton) by a bipartisan vote of 5-1. AJR 4 calls upon the President of the United States to save California homeowners hundreds of dollars per year in mortgage fees by reinstating an Obama-era Federal Housing Administration (FHA) rule.

“Home ownership is fundamental to the prosperity of our middle class,” said Assemblymember Cervantes. “We as legislators should do everything we can to support Californians who want to buy their own homes.”

“Future California homeowners should be provided every opportunity to make their dream a reality,” said Assemblymember Quirk-Silva. “We must cut mortgage fees, and increase the quality of life for California so that hardworking families, veterans, seniors, and first-time homeowners have an affordable place to call their home.”

In 2016, FHA issued a rule that would have cut fees for many low-income and first-time home buyers using FHA-backed mortgage loan insurance by 0.25 percent. FHA-backed insurance is popular with many low-income and first-time homebuyers. One of the first acts made by the President upon taking office in January was to rescind that rule. Had it not been rescinded, the rule would have saved eligible California homeowners an average of $860 per year.

“The President has made it harder for many Californians to buy their own homes. AJR 4 urges the President to reinstate the mortgage fee cut made by his predecessor and save Californian homeowners hundreds of dollars a year,” said Assemblymember Cervantes.

AJR 4 will next be sent to the Assembly Floor for consideration by the full State Assembly. Click here for more information about the resolution.

Sabrina Cervantes represents the 60th District of the California State Assembly, which encompasses the communities of Corona, Eastvale, Jurupa Valley, Norco, and a portion of the City of Riverside.