The Federal Housing Administration will get a taxpayer subsidy for the first time in its 79-year history after loan losses during the housing bubble depleted most of its insurance fund. The White House estimated in April that FHA would need $1 billion, but officials said Wednesday they are still uncertain how much infusion the FHA will get. U.S. Sen. Bob Corker, R-Tenn., is pushing legislation to replace the FHA, Fannie Mae and Freddie Mac with a more modern lending structure.
"No reasonable person could believe that we should continue along with the current housing finance system in this country when three separate entities -- Fannie, Freddie, and, according to reports, now the FHA -- have all had to come to the taxpayer for billions of dollars in bailout funds," Corker said.
Companies placed slightly more orders in August for U.S. long-lasting manufactured goods, stepping up demand for cars, trucks and machinery. Orders for durable goods increased 0.1 percent in August, the Commerce Department said Wednesday. That comes after orders plummeted 8.1 percent in July, which was largely because of a steep drop in volatile commercial aircraft orders.