What to know about the Senate affordable housing bill
United States-29 July: President Tim Scott, RS.C., Sen. Tina Smith, D-Minn. And the ranking member Sen. Elizabeth Warren, D-Mass, Dirksen Road building building, Dirksen Building on Tuesday, July 29, Tom Williams/CQ-Rluk Call, Getty Imags (Tom Williams/CQ-Rluk Call.
Tom Williams | CQ-Rluk Call, Inc. | Getty Images
A Senate Committee approved This week is a big housing bill, with a series of provisions that can facilitate people buying a house.
On Tuesday, the Banking, Housing and Urban Affairs Senate Committee unanimously voted unanimously. The opportunity to renew at the American Dream Law dated 2025It aims to increase the supply of affordable housing.
Invoice Committee President RS.C. and senator Elizabeth Warren, D-Masses. D-Masses.
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The draft was published on the Senate Floor, but it is not yet planned to have a discussion.
Here are what tenants and home buyers should know about the bill.
Housing Law Law ‘Not Payacea’
According to the text, the 2025 Housing Law Act aims to increase the country’s housing supply, to improve purchasability, to reduce homelessness, to expand access to hosting, to increase the surveillance and efficiency of federal regulations and housing programs.
The housing market is not increasingly suitable for many Americans. . According to the National Real Estate Association, the average selling price in June was $ 435,000 – the record was high for the month. The interest rates remained high and prevented sellers from listing their homes and potential buyers.
“There are not many households because they can’t afford to have or rent or rent.” He said.
In 2023, half of the tenants in the United States or 22.6 million tenants were the “cost burden”, so they spent more than 30% of their income on rent and public services. in accordance with A recent report by Harvard University Joint Housing Research Center.
Industrial Groups and Local Selected Authorities expressed Support Alys Cohen, Director of the Federal Housing Defender at the National Consumer Law Center, said for the housing package, “Not a panacea in every trouble,” he said.
Moreover, the majority of the provisions aim to make changes to building more housing for local governments, which can eventually add more supply and facilitate prices. Nevertheless, some provisions in the law directly affect individuals and communities.
Cohen, “Some are brave, some are modest, some will be useful, some may be harmful. Hope is an important step in general.” He said.
‘A Potpurri with different efforts’
The Housing Law Act is a “Potpuri with different efforts to increase housing supply.
A provision in the housing package will simplify the construction of the houses produced. elimination Federal requirement of a permanent chassis or foundation and expanding credit and financing options.
The housing, which was formerly known as mobile houses, consists of houses built in the factory, which was carried in one or more sections. From now on, a permanent chassis should be mounted, in accordance with Housing and Urban Development Department.
Making and selling such houses is more affordable and they are popular in the south, where “housing shortage is particularly acute”.
With a few changes in lending and regulation, “We can see more housing produced and it can be very useful to improve this host.”
Other provisions Cohen can affect individuals more directly.
For example, the invoice authorizes permanently Community Development Bloc Grant Grade Extraordinary Stop Rescue Program By HUD, which provides resources to states, tribes and communities to rebuild the housing after a natural disaster.
Individuals can get help Federal Emergency Management Agency After a disaster, only if they need funds to rebuild, the CDBG-DR program provides the necessary funds.
From now on, the congress should regularly authorize or After a disasterCohen said.
Cohen said the package is “one of the most important achievements”.
Some are brave, some are modest, some will be useful, some may be harmful. In general, hope is an important step forward.
Alys Cohen
Director of Federal Housing Defense at the National Consumer Law Center
Another provision helps low -income and rural landlords with direct credit mortgages for financial assistance.
If people need a payment reduction in their mortgages when they have mortgages supported by the government, one of the ways to do so is to extend the duration of the loan. Currently, direct loan borrowers with USDA loans do not have this option.
“This bill solves this problem,” he said.
However, in the integrity of the bill “most of the people who need the most” meets the needs “,” inadequate service communities and color households “.
