Democratic League of Legislators United States Senate and House of Representatives Reintroduced a bill that would address housing issues by repairing or building millions of additional units to lower costs for renters and homeowners.
The bill, known as the American Housing and Economic Mobility Act, would provide funding to “build or rehabilitate nearly 3 million units of housing over the next decade and lower rents for low-income and middle-class households by 10%, saving ordinary families.” $140 a month,” a statement released by the office of Sen. Elizabeth Warren, D-Mass., quoted Moody’s Analytics.
The proposed funding will be provided primarily by restoring the inheritance tax threshold to January 2009 levels.
Democrats were the only lawmakers to sign on. The bill was introduced in the Senate by Georgia’s Warren Warnock and Raphael Warnock, both members of the Senate Banking, Housing and Urban Affairs Committee. The House version was introduced by Rep. Emmanuel Cleaver of Missouri, ranking member of the House Financial Services Committee’s Housing and Insurance Subcommittee.
Six senators (five Democrats and one independent) have signed on as co-sponsors in the upper chamber, while the House version has the support of 20 Democrats.
“The only way to get our country out of this housing crisis is to build more housing so everyone has a place to call home,” Warren said in a statement. “My bill will do a great job for our country. Make bold investments in housing and encourage local innovation to further lower housing costs—all paid for by America’s wealthiest families.”
Senator Warnock and Representative Cleaver added that addressing housing remains a critical part of building better wealth and security for more Americans.
“Failure to address the nation’s housing shortage has led to rising costs, making home ownership difficult, increasing rent burdens in communities across the country and leaving too many Americans homeless,” Cleaver said in a statement.
“Not only does this prevent working-class Americans from accessing safe, stable and secure housing, it also prevents millions of our fellow citizens, especially those in minority communities, from climbing the economic ladder and building intergenerational wealth.”
In addition to funding an estimated 3 million housing units, the bill would seek to “provide assistance to people harmed by the failures of federal housing policies” by providing down payment assistance; U.S. Department of Veterans Affairs (VA) – Guaranteeing loan eligibility for descendants of certain veterans; creating incentives for local governments to “eliminate unnecessary land use restrictions”; and limiting the role of private equity in housing.
The proposed bill has the support of nearly 50 nonprofit groups, including labor unions and housing advocates. Some of the groups that have expressed support include National Low Income Housing Coalition (NLIHC), National Community Reinvestment Alliance (NCRC), and American Federation of Labor and Congress of Industrial Organizations (AFL-CIO).
Additionally, a coalition of Massachusetts mayors, civil rights and housing interest groups submitted letters of support. this Native American Indian Housing Commission A resolution supporting the bill was passed in 2019, which Senator Warren’s office said “remains in effect today.”
The announcement from Warren’s office included multiple resources on the bill, including its direct text, the aforementioned Moody’s analysis, and statements of support from unions, interest groups and others.
As Americans prepare to vote in November to determine the next president and the balance of power in both chambers of Congress, housing remains a key issue in the 2024 political season. Young voters—particularly Gen Z voters—have recently expressed serious concerns about housing costs,
Earlier this year, House lawmakers formed the Bipartisan Real Estate Caucus in recognition of the important role the industry plays in the U.S. economy. While some lawmakers have expressed or engaged in more housing-related activity, many also understand that passing any meaningful legislation in the period leading up to the election will be an uphill battle.
