House Passes Major Housing Bill with Trump Support
The House of Representatives moved forward on a significant housing bill on Wednesday, gaining backing from President Donald Trump. This support presents Republicans a favorable opportunity regarding affordable housing as they approach the midterm elections in November.
In a striking show of unity, lawmakers voted 396-13 to send this bipartisan legislation, aimed at boosting housing supply and homeownership, to the Senate for final approval before it can be signed into law by the president.
A White House official noted, “Thanks to these changes, the White House supports the House housing bill.” This endorsement is a notable achievement for House Republican leaders, who dismissed the Senate’s push for a competing housing bill without any amendments.
The future of the bill in the Senate, however, is a bit murky. It still needs to satisfy a 60-vote threshold and could face hesitations regarding the House’s adjustments. A key amendment removed a provision from the Senate’s bill that demanded large investors sell single-family homes for rental purposes within seven years. Critics believe this could diminish housing supply and adversely affect the build-to-rent market—an alternative for many seeking rent-to-own options.
Additionally, the modified legislation continues to prohibit large institutional investors from buying new single-family homes. This specific measure has garnered interest from both the Trump administration and progressives like Senator Elizabeth Warren, who argue it levels the playing field for individual homebuyers against wealthy investors.
Interestingly, a survey conducted in May highlighted that 70% of voters favored banning additional purchases by big investors owning 350 or more homes. Yet this support dwindled when participants learned it might negatively impact rental housing availability.
Chairman of the House Finance Committee, French Hill (R-Ark.), stated, “This bill prioritizes American families by expanding homeownership and increasing affordability, while also addressing burdensome regulations.” He added that it aligns well with President Trump’s goal to limit institutional investors competing with ordinary Americans looking to buy homes.
Nevertheless, the bill encountered some pushback from conservatives over unrelated aspects involving digital currencies. Thirteen members of the House Freedom Caucus opposed the housing measure, voicing concerns surrounding language that would temporarily ban central bank digital currencies (CBDCs). They argued that a temporary ban might lead to excessive financial oversight.
Republican leaders are framing this housing bill as part of a greater initiative to address cost-of-living issues before the upcoming elections.
During a press conference, House Speaker Mike Johnson (R-Louisiana) emphasized that “rising housing costs and a lack of quality supply are issues affecting nearly every American household,” asserting that the House bill is “a strong bipartisan package that will put more American families into homes.” Similarly, House Minority Leader Steve Scalise (R-Louisiana) remarked, “Lower housing costs are something that every American in this country would appreciate.”
