Housing
Home prices are gradually increasing and foreclosures are declining, but our slow-moving housing recovery still leaves many Californians with significant financial struggles. Many families are either barely able to make mortgage payments or stuck in a home that is still worth less than the amount owed. In our district, 20 percent of the 50,000 homes backed by Fannie Mae are “under water” and in jeopardy of foreclosure.<br />
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Our economy will continue to struggle and consumer confidence will never return unless we fix our housing situation. <br />
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To improve our housing market we need to: <br />
• Allow all homeowners to refinance their mortgages at today’s historically low rates. This would put an average of $3,000 per year back into the pockets of middle class families.<br />
• Put a principal reduction plan in place for underwater homeowners that would allow their mortgages to more accurately reflect the market value of their house. The Federal Housing Finance Agency’s (FHFA) own analysis and the nonpartisan Congressional Budget Office (CBO) both conclude that implementing principal reduction programs for underwater mortgages backed by Fannie Mae and Freddie Mac could save U.S. taxpayers billions of dollars by avoiding unnecessary defaults, helping homeowners avoid foreclosures and remain in their homes, and stimulating additional growth across the economy. <br />
• Begin the process of reforming Fannie Mae and Freddie Mac so that they can begin to function as a backstop for catastrophic failure rather than as a first line guarantor for mortgages.<br />
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These policies will help keep people in their homes and keep neighborhood values up. That’s good for families, our communities, our district and our economy. <br />
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If you are facing problems with your mortgage, we might be able to help. You can contact my district offices <a href="http://mikethompson.house.gov/contact/">here</a>.
View the Designed 2025 End of Year Update HERE!
As 2025 comes to a close, here’s a look back at what my team and I have done…
Delivering for Constituents
Washington, D.C. – Today, Ranking Member of the House Ways and Means Subcommittee on Tax Rep. Mike Thompson (CA-04),Ranking Member of the House Ways and Means Committee Rep. Richard E. Neal (MA-01), and Ways and Means Democrats held a press conference announcing the American Affordability Act, a comprehensive bill aimed at lowering the cost of living for American families.
Washington – Today, Representative Mike Thompson (CA-04) announced that the Internal Revenue Service (IRS) has released guidance for qualified wildfire survivors applying for tax relief under Thompson’s bipartisan Federal Disaster Tax Relief Act of 2023.
Washington – Today, Representatives Mike Thompson (D-CA) and Doug LaMalfa (R-CA) introduced legislation providing homeowners in disaster-prone regions with broad incentives to harden their properties against wildfires and other risks. The legislation is intended to help address the ongoing insurance crisis in California and other states, as the rising frequency and intensity of natural disasters has led insurers to raise rates and, in several cases, exit certain markets entirely.
Washington – Today, Rep. Mike Thompson (CA-04) announced that President Biden has signed the bipartisan Federal Disaster Tax Relief Act (H.R. 5863) into law. The bill includes Rep. Thompson’s legislation that exempts thousands of qualified wildfire victims in California from having to pay federal income tax on their settlement money or pay tax on attorney fees included in the settlement. This relief applies retroactively to qualified victims.
Washington – Today, Rep. Mike Thompson (CA-04) announced his co-sponsorship of H.R. 8560, The End Veteran Homelessness Act of 2024. This legislation, introduced by Reps. Mark Takano (CA-39), Maxine Waters (CA-43), and Mike Levin (CA-49), seeks to address casework backlogs and expand the eligibility for the HUD-VA Supportive Housing (HUD-VASH) program, which would allow more veterans who are experiencing or at risk of homelessness to access permanent housing.
Today, Rep. Mike Thompson (CA-04) joined Burbank Housing, Related California, and leaders from Sonoma County to celebrate the grand opening of Laurel at Perennial Park, a new affordable housing development built at the site of the former Journey’s End Mobile Home Park that was tragically destroyed in the 2017 Tubbs wildfire.
Today, Reps. Mike Thompson (CA-04) and Doug LaMalfa (CA-01) introduced a revised version of their bipartisan legislation that would shield thousands of fire victims from taxation on compensation received in the aftermath of a wildfire. This protection would cover payments made from the Fire Victim Trust, a $13.5 billion wildfire settlement for nearly 70,000 victims of the 2018 Camp Fire, 2017 North Bay Wildfires, and the 2015 Butte Fire.
Today, Representatives Mike Thompson (D-Calif.) and Doug LaMalfa (R-Calif.) introduced the bicameral, bipartisan Disaster Mitigation and Tax Parity Act, legislation that will exempt from federal taxes rebates that homeowners receive for hardening their homes against natural disasters. Senators Dianne Feinstein (D-Calif.) and Thom Tillis (R-N.C.) led the Senate companion bill. The Members were joined by Reps.
Today, Rep. Mike Thompson (CA-04) presented a check to leaders from Providence Health for the Rohnert Park House project. Rep. Thompson secured this funding in the Fiscal Year 2023 government funding bill.