The act that established FHA was which of the following?

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Multiple Choice

The act that established FHA was which of the following?

The act that established the Federal Housing Administration was the National Housing Act of 1934. This law created the FHA to promote home ownership and stabilize the housing market by insuring mortgages made by private lenders, making long-term, low-down-payment loans more feasible for buyers during the Great Depression. The other options set up different programs or regulated banking tasks (such as refinancing mortgages through the Home Owners' Loan Corporation, or broader banking reforms), but they did not establish the FHA.

The act that established the Federal Housing Administration was the National Housing Act of 1934. This law created the FHA to promote home ownership and stabilize the housing market by insuring mortgages made by private lenders, making long-term, low-down-payment loans more feasible for buyers during the Great Depression. The other options set up different programs or regulated banking tasks (such as refinancing mortgages through the Home Owners' Loan Corporation, or broader banking reforms), but they did not establish the FHA.

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