House Republicans Consider Changes to Bipartisan Housing Bill Ahead of Midterms

Congressional Republicans face political pressure to advance bipartisan housing legislation before the November 3 midterm elections as voter concern over housing affordability has grown. The legislation, known as the 21st Century ROAD to Housing Act, passed the Senate in March but has been held up in the House of Representatives.

Some Republicans have objected to provisions added in the Senate, stating that those changes could limit the nation's housing supply. The bill seeks to address housing affordability by reducing certain federal regulations and encouraging state and local governments to ease land-use restrictions.

Rising housing costs have contributed to broader inflation that has lowered consumer sentiment. Higher costs have also been linked to increased disapproval ratings on economic handling 16 months into the current presidential term. The longer the legislation remains stalled, the less opportunity exists for Republicans to present it as an accomplishment on the campaign trail.

Even if the measure does not produce immediate price reductions before the election, it could still serve as a legislative achievement for messaging purposes.

Republican leaders in the House and Senate have faced lobbying to resolve differences and pass the legislation. House Republican leadership is reportedly planning to place an amended version of the Senate bill on the floor for a vote as soon as mid- to late May.

It remains unclear how the House would address a provision that would ban large institutional investors from buying single-family homes. That provision was added to the Senate bill following a call for it in the 2026 State of the Union address. The bill also includes language requiring investors in build-to-rent homes to sell those properties within seven years.

Industry groups and housing experts have opposed the requirement, stating it would make such investments uneconomical and lead to fewer homes being built. The National Association of Home Builders, which had supported the original bipartisan legislation, has threatened to withdraw its backing over the added language.

In an open letter, a group of prominent housing experts and economists told lawmakers the changes would decrease housing investment and directly result in fewer homes constructed.

Housing experts have noted that many provisions in the bill would take time to affect housing supply. "Firstly, a lot of the measures take a while before they have an effect," Desmond Lachman, a senior fellow at the American Enterprise Institute, told the Washington Examiner.

"That if you change regulations, you get rid of red tape, you make it easier for zoning and all of that, it takes a while before you build the houses. " Recent economic data has shown inflation rising. The consumer price index increased 0.5 percentage points to 3.8 percent for the year ending in April.

The producer price index rose to a 6 percent rate, the largest increase since 2022. Much of the recent inflation has been attributed to higher energy prices linked to the war in Iran. Polling has indicated that inflation and cost-of-living concerns remain top issues for voters ahead of the midterm elections.

Andrew Bates, a Democratic strategist and former Biden administration White House spokesman, told the Washington Examiner that the legislation would not offset other factors affecting housing costs but that failing to pass a bill increasing supply would be a missed opportunity.

"Housing is a big issue, it polls very high, and Republicans do want to say they did something about housing — and passing this bill would give them the opportunity to jawbone the issue," Brian Darling, a Republican strategist and former Senate aide, told the Washington Examiner.

"This is an issue that I think that Republicans want to get across the finish line so they can have something to campaign on," Darling said.