GSEs Fannie Mae andFreddie MacPresident George Bush isexpected to sign it immediately

Except for the plan to stabilized Fannie Mae and Freddie Mac,this bill targets the residential real estate market. Still,though, CRE will feel its impact, no matter how indirectly, andreceive a much-needed boost. It is possible, for instance, thatsecuritization of residential mortgages could be jump-started bythe legislation, Gibran Nicholas, chairman of the CMPS Institute,an organization that certifies mortgage bankers and brokers, tellsGlobeSt.com.

"A lot of companies have been waiting on sidelines, waiting tosee what new legislation will develop," Gibran says. He says thatthe bill's limits on liabilities will give loan servicers morefreedom in deciding what to with troubled loans. "If a servicerdetermined that the net present value of the anticipated recoverythrough a loan modification or work-out plan is equal or greaterthan what they get out of foreclosure, then that could deemed to beacting in best interest of clients," he says. The caveat is thatthe bill is designed to aid owner-occupied home owners, he notes,so the impact will be limited. "So it might jump start some RMBS,which is better than nothing."