WASHINGTON, DC — The Biden Administration’s newly announced plan to help address the housing affordability crisis is being praised by the housing industry’s two leading trade associations.
Both the National Association of Home Builders and the National Association of Realtors praised the White House, which this week outlined a plan to boost housing availability and lower costs for renters and homeowners, portraying it as part of a broader effort to combat inflation for Americans.
The administration released a “Housing Supply Plan” that officials said would yield additional housing stock in the next five years. Among the measures included as part of the plan are using new financing mechanisms to build and preserve more housing where there are currently financing gaps and expanding federal financing by making certain loans more widely available for multifamily developments. The White House also said it will work with private sector companies to improve supply chain issues, with the goal of finishing construction on more new homes this year than in any year since 2006.
“We commend the White House for joining the fight to put the issue of housing affordability in the forefront of the national economic agenda after NAHB had been urging the administration to move on this vital national concern for the past several months, said Jerry Konter, chairman of the NAHB.
“The plan contains many positive elements that would help address a host of affordability challenges and improve financing options, and acknowledges the long-term headwinds, like supply chain bottlenecks and chronic construction labor shortages, repeatedly identified by NAHB members as holding back housing production,” Konter said.
National Association of Realtors President Leslie Rouda Smith said that the Washington, DC-based NAR “welcomes the administration’s work on this effort and encourages policymakers to look at comprehensive action that includes zoning reforms, investment in new construction, expansion of financing and tax incentives to spur investment in housing and convert unused commercial space to residential.”
“For too long, land-use restrictions have driven up the cost of housing for too many,” Smith said. “NAR supports policies encouraging states and localities receiving federal dollars to explore high-density zoning and other land-use rules that lock out families. We also support new grant programs for localities to enact pro-housing policies.”