Bush lauds work on housing issues

WASHINGTON, May 19 (UPI) -- The U.S Congress is making progress on reforming Fannie Mae and Freddie Mac, leading to "a strong, independent regulator," President George Bush said Monday.

Bush commented in Washington on his meeting with U.S. Treasury Secretary Henry Paulson after returning from the Middle East.

The Hope Now program, which Paulson oversees, has helped 1.4 million people get mortgage relief and remain in their homes since it started, he said. The program helps qualifying homeowners refinance their mortgages and "get the financial help necessary to stay in (their) homes."

The administration's policy regarding mortgage assistance is "laws shouldn't bail out lenders, laws shouldn't help speculators, the government ought to be helping creditworthy people stay in their homes," Bush said.

Congress is working on modernizing the Federal Housing Authority and the Fannie Mae and Freddie Mac loan programs, Bush said.

"That reform will come with a strong, independent regulator," he added.

Paulson said economic stimulus checks were being distributed, Bush said.

"It should help our economy, and more importantly, help people pay their bills," he said. "And we hope people use that money and take care of their families and shop."