House Advances Amended Housing Bill to Address Supply Shortage

The House of Representatives is set to consider an amended version of the 21st Century ROAD to Housing Act this week. The measure aims to increase housing supply by reducing regulatory barriers while addressing concerns raised about the Senate version.

The Senate-passed bill includes language that would restrict a category of housing development known as build-to-rent, which currently produces about 70,000 new units annually. Earlier this year, the threat of that provision led to the cancellation of 10,000 planned homes, according to homebuilders and housing advocates.

The Senate bill also contains measures that would expand the role of certain nonprofit organizations in housing markets and create a taxpayer-backed fund for cooperatives to purchase manufactured housing parks. Additional language addresses a potential central bank digital currency.

The House version removes the restrictions on build-to-rent developments and eliminates the provisions related to nonprofits and the digital currency framework. It retains a ban on large institutional investors purchasing single-family homes in competition with individual buyers.

If enacted, the amended bill would allow previously halted projects to resume and would require congressional approval for any future central bank digital currency. The measure is expected to move to the Senate for further consideration.