House passes rescue plan for Fannie Mae, Freddie Mac

The U.S. House of Representatives late Wednesday passed a massive housing bill that includes a rescue plan for Fannie Mae and Freddie Mac.

The House approved the bill by a wide margin after the markets closed. It contains a measure proposed by President George W. Bush to back Fannie and Freddie, should the firms need it. A government bailout could cost a much as $25 billion.

The bill now goes to the Senate, which is expected to narrowly approve it. The bill could land on Bush's desk by the end of the week.

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Earlier in the day Wednesday, the White House retracted its veto threat of the bill. It previously had a beef with a $3.9 billion provision that would prop up homeowners facing foreclosure. The administration viewed the measure as a bailout.