WASHINGTON -- The Senate Banking Committee has dropped an effort to increase the Federal Housing Administration's single-family loan limit above the present $151,000.
The higher limit had been requested by the Clinton administration. But the committee's chairman, Sen. Donald Riegle, D-Mich., said the proposed increase proved too controversial during the panel's consideration of a broader housing bill.
Sen. Riegle left open the possibility the issue could be revisited during action on the Senate floor.
A bill approved last week by the House Banking Committee would increase the FHA single-family limit to $172,000.
