A new bill aimed at increasing housing affordability now has the support of Democrats and Republicans and could go to President Trump's desk as soon as this week. Its supporters have hailed it as the most significant bipartisan housing reform effort in decades.
The 21st century Road to Housing Act is aimed at lowering costs, creating new housing supply, and critically cutting red tape. The bill is a joint effort between Republican Sen. Tim Scott, a close ally of President Donald Trump, and Sen. Elizabeth Warren, a progressive and one-time Democratic presidential candidate.
For Sen. Scott, the only Black Republican in the Senate and the chair of the committee that spearheaded the bill, the issue is personal.
"My bother, my mother and I shared a bedroom, a bed, for years. And I will tell you that the American dream just seemed out of reach for so many in my neighborhood," he said.
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Among the dozens of provisions included in the overall package is a pilot for a new program to create small dollar mortgages under $100,000, cutting red tape around environmental reviews for new construction and the creation of a grant program to greenlight pre-approved designs to streamline the construction of new homes.
The legislation also prevents large institutional investors which own more than 350 single family homes from stockpiling additional properties, though it does not require them to divest and does allow them to build new homes explicitly to be rented out.
"This should really give folks hope that Congress can still do big things and do them in a bipartisan fashion," said Ken Wingert, Chief Advocacy Officer for the National Association of Home Builders. "While no one part of the bill is going to solve the housing issues we have overnight, this compilation, I think, will help put us a step in the right direction."
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Senate passage was not unanimous, but 85 senators voted for it. Just 5 Republicans voted against it, saying they have concerns it would not be effective. The House passed the bill Tuesday evening with broad bipartisan support. The White House has said previously that President Trump is expected to sign it.
