Housing Affordability Bill Faces Hurdles in the House Despite Senate Progress
A major housing affordability bill, which recently gained bipartisan support in the Senate, is expected to encounter resistance in the House, primarily due to concerns surrounding a proposed ban on large investors purchasing single-family homes. The potential roadblocks were discussed during a closed-door meeting of House Republicans this week.
Scalise Predicts Difficulties
House Majority Leader Steve Scalise (R-La.) indicated that the bill is likely to stall due to disagreements between the House and Senate versions. According to three attendees of the House Republican retreat, Scalise stated that if the Senate doesn’t address concerns raised by House members and Financial Services Chair French Hill (R-Ark.), the bill will likely require a conference committee to reconcile the differences before it can turn into law. CNBC Politics
“If the Senate thinks we’re gonna capture this medicine, we’re gonna go to conference,” Scalise reportedly said.
Investor Ban at the Center of Debate
The debate centers on a provision aimed at curbing the influence of large investors in the housing market. Former President Donald Trump had previously called for a ban on corporations and major investors buying single-family homes. While this provision was too late to be included in the initial House bill, the Senate agreed to language that would limit companies to owning no more than 350 homes.
However, an exception exists for companies involved in building or renovating homes, allowing them to exceed the 350-home limit if they sell the additional properties to non-corporate buyers within seven years. This exception has drawn criticism from some lawmakers, who worry it could hinder investment in new construction and potentially impact sale prices for homeowners.
House and Senate Positions
French Hill stated that House lawmakers have already communicated their concerns to Senate colleagues and are “seem[ing] forward to working to achieve a bicameral success in housing policy that will benefit the American people with growing supply and lower construction costs.”
Senate Banking Committee Chair Tim Scott (R-S.C.) expressed optimism about the prospects of a compromise, noting that the Senate bill has adopted 20 key provisions from the House version, including a five-year ban on central bank digital currency. “Our bill is fantastic. Their bill is good,” Scott said. “Putting those two together, we have the bicameral approach to housing.” CNBC Politics
Background on Steve Scalise
Steve Scalise has served as the House Majority Leader since January 3, 2023, and has represented Louisiana’s 1st congressional district since 2008. Prior to his election to Congress, he served in the Louisiana State Senate and the Louisiana House of Representatives. Wikipedia