House passes housing affordability bill

The U.S. House passed a revised housing affordability package on Wednesday by a vote of 396 to 13, moving a long-stalled bipartisan effort back to the Senate. The measure keeps a restriction on large institutional investors buying more single-family homes, but narrows it from an earlier version that had drawn opposition from housing and finance groups. The package also includes a set of community bank provisions and other housing measures aimed at boosting supply and lowering costs. The vote came after months of negotiations and after Republican divisions had previously stalled the legislation. ### Why did the House have to vote on this again? The House voted on May 20 to adopt changes to a Senate-passed housing bill rather than simply take up the Senate text unchanged. Roll Call reported the procedure was a resolution concurring in a Senate amendment, which let the House swap in its own revised language while keeping the legislation moving between the chambers. That approach sent the measure back to the Senate for another decision. (nationalmortgagenews.com) The legislation had been stalled for weeks after disputes over the investor language split Republicans and drew pushback from parts of the housing industry. The New York Times said the bill had been held up by Republican divisions before passing overwhelmingly, while Bloomberg reported it advanced after a contentious provision was removed and after the White House backed the effort. (rollcall.com) ### What changed in the investor crackdown? CNBC reported the revised bill would bar institutional investors that own more than 350 single-family homes from buying additional ones, but would still allow them to build more homes. That marked a narrower approach than earlier proposals that had alarmed builders and investors over treatment of build-to-rent properties. National Mortgage News reported the House version removed a seven-year requirement that some institutional investors sell build-to-rent homes. (nytimes.com) The National Association of Home Builders said the revised text eliminated a sales provision that it argued would have reduced housing supply and hurt affordability. ### What else is in the package besides the investor rules? National Mortgage News said the House bill includes “a raft of community bank measures” alongside the pared-down investor provision. (cnbc.com) The broader package is part of a bipartisan housing push that lawmakers in both parties have described as an answer to high home prices, tight inventory and rising frustration from voters. (nationalmortgagenews.com) NPR-affiliated coverage summarized the bill as encouraging homebuilding across the country while restricting large corporate landlords from buying more houses. Bloomberg described it as the most sweeping housing legislation in a generation, though that characterization was Bloomberg’s. ### Why did the bill draw such broad support this time? The 396-13 vote showed support well beyond the two-thirds threshold needed under suspension of the rules. (nationalmortgagenews.com) The New York Times reported the final vote reflected eagerness in both parties to address housing affordability in an election year after the issue gained political traction. Politico reported the bill also had White House backing, which helped clear the way for the final floor push after negotiators released amended text on May 13. (wusf.org) CNN reported President Donald Trump had earlier endorsed the Senate bill, saying it “would ensure that homes are for people, not corporations.” ### What happens next in the Senate? Senate Banking Committee leaders Tim Scott and Elizabeth Warren are expected to review the House changes with senators from both parties, according to CNN. (rollcall.com) Because the House amended the Senate-passed legislation, the Senate now must decide whether to accept the House version, amend it again, or move toward a conference process. (politico.com) The next formal step will come in the Senate in the coming weeks as lawmakers weigh whether the narrowed investor language and community bank provisions can hold the bipartisan coalition together. Until both chambers pass identical text, the bill cannot go to President Donald Trump for signature. (ktvz.com) (news8000.com)