Senate Passes Affordable Housing Reform Bill In Rare Display Of Bipartisanship

In news that is actually shocking, the Senate managed to pass a bipartisan bill intended to address the nation’s housing crisis.

CBS News reports that the Senate passed the 21st Century ROAD to Housing Act in an 85-5 vote. The ROAD to Housing Act takes several steps to address the ongoing housing crisis, including removing certain regulations and preventing institutional investors from buying single-family homes. That last part was a major selling point for President Donald Trump, which is likely why there is such significant bipartisan support for the bill. Sen. Elizabeth Warren and Sen. Tim Scott, two of the top-ranked members of the Senate Banking Committee, worked for over a year to iron out the bill’s details.

“There is so much in this bill,” Warren said. “Each piece, directing us toward increasing the supply of housing, bringing down the cost, and making housing something that is not just a Wall Street investment, but is actually there for American families.”

From CBS News:

The bill represents the most sweeping housing legislation in decades. Sen. Tim Scott of South Carolina, the chairman of the Senate Banking Committee, said in a statement that it was the result of “years of work to lower costs, expand housing supply, cut red tape, protect taxpayers, and help more Americans achieve the dream of homeownership.”

“Now it is time to move forward, get this bill across the finish line, and deliver real relief for the American people,” Scott said. 

Speaking from the Senate floor last week, Sen. Elizabeth Warren of Massachusetts, the top Democrat on the Banking Committee, outlined some of the bill’s more than 45 housing provisions. The legislation would remove some regulatory barriers and streamline environmental reviews to increase development of affordable housing; update chassis requirements for manufactured housing; create an innovation fund for communities increasing housing supply; and support housing opportunities for veterans, among other things. 

The bill also has bipartisan support in the House, where it is expected to pass. Rep. Maxine Waters (D-Calif.), the top Democrat on the House Financial Services Committee, celebrated the final agreement, while noting that “no compromise is perfect, this legislation reflects meaningful progress.”

“This is an important step forward, not the final destination,” Waters said. “I look forward to continuing my work to lower housing costs, address homelessness, expand affordable housing, and ensure every family has access to a safe and stable place to call home.”

Rep. French Hill (R-Ark.), the chairman of the House Financial Services Committee, was also celebratory of the bill. “This bill is a meaningful step toward increasing housing supply, improving affordability, and helping more Americans achieve homeownership,” Hill told reporters. “I look forward to President Trump signing it into law.”

Over the last decade, Congress has largely been defined by votes along party lines, with little bipartisanship and a lot of gridlock. While the ROAD to Housing Act’s strong bipartisan support is a surprise, it reveals that the housing crisis is an issue affecting voters across party lines.

While the bill takes several notable steps to address affordable housing, housing experts told the Washington Post it likely won’t have a meaningful impact on prices. Investor-owned housing accounts for a small share of houses for sale, and the affordability crisis largely stems from the nation’s housing supply failing to meet demand. 

“There is no one magical thing in this bill that is going to suddenly unlock the housing markets and allow us to create the housing that America needs,” Sharon Wilson Géno, president of the National Multifamily Housing Council, told the Washington Post. “But what it does show is that both parties and both chambers of Congress recognize that housing affordability and housing supply are really important issues for the American electorate and that they need to be responsive.”

Both Scott and Warren have said there is bipartisan support for passing additional legislation and that this bill is an important first step toward addressing affordable housing. “It makes clear that the federal government has a role to play in bringing down the cost of housing; that’s never been the case before,” Warren told the Washington Post. “And second, it beats that private equity and shows that we are determined that housing is not just one more Wall Street investment.”

The GOP has done very little over the last two years to address the affordability crisis, with some of their actions, like letting subsidies for insurance provided through the Affordable Care Act expire, actually making it worse. We’ll see if their support for this bill improves how Americans view the nation’s economy. 

SEE ALSO:

Senate Passes Most Robust Affordable Housing Bill In Decades

HUD Accuses Boston Affordable Housing Initiative Of Reverse Racism