Fox Business
Expand
Browse All Video
Watch Live

You're watching...

Bailout for FHA?

Details

  • Description

    FBN's Peter Barnes on the FHA posting a $16.3B deficit and possibly needing a bailout.

  • Duration 1:50
  • Date

Clips

Also in this playlist...

Latest Video

Auto-advance: ON

Auto-advance
View All

Transcript

This transcript is automatically generated

The story we've been covering here all year really on Fox Business now it's time for the FHA.

To get in the hot seat the housing secretary Shaun Donovan currently is hearing before the senate banking committee examining the FHA's response to.

It's fiscal challenges -- big.

It is worth three and a half percent down baby and that's -- down payment if he knew enough -- -- line Peter Barnes standing by in Washington with more hey Peter.

By day -- and -- Republicans are charging at this hearing that a bailout of the FHA is coming and get this the housing secretary.

Cannot rule it out he says he is highly concerned that there might be one that Washington has certainly closer to one after the latest audit of the FHA found -- has a thirteen point six.

It's part partly.

Sixteen point three billion dollar capital reserve shortfall but the administration says it's too soon to say.

Whether the FHA will need any funding from the treasury the FHA is increasing fees and making other changes to avoid a bailout.

This time I -- to get for serious reform of FHA before it needs a taxpayer ballot if it is it.

Too late already.

Right now the question is is quickly becoming not if but when.

The final accounting of any shortfall would be done at the end of fiscal year 2013.

In order to determine whether funds from the treasury are necessary.

Now the administration says it won't signal its intentions on getting funding from the treasury for the FHA -- -- it releases its 2014.

Budget.

This February the FHA as your call insurers more than a trillion dollars of riskier low down payment loans those three and a half percent -- -- again.

And thousands of them keep going bad start Peter Barnes there and now Washington to take us right into our next guest from --

Load More