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The House of Representatives has passed a bill that aims to help struggling homeowners caught up in the subprime mortgage mess.

The state of Connecticut already has a program up and running to try to refinance some families in adjustable rate mortgages, but many legislators feel its terms are too inflexible to be able to reach the most troubled households.  Only around 250 homeowners have qualified - the bill passed by the House Monday night aims to help at least 15 hundred more families.  

The measure includes new, affordable refinancing programs with different credit underwriting terms than the current Connecticut Housing Finance Authority program. It also creates an emergency mortgage assistance program to provide loans to borrowers who don't qualify for the other loan programs because of credit problems and other issues.

In addition, the bill puts new restrictions and licensing requirements on mortgage lenders and brokers; creates a foreclosure mediation program within the state's Judicial Branch; and creates a program that allows CHFA to buy foreclosed residential property and later use it for affordable and supportive housing.  The bill now moves to the Senate.