Housing Affordability Could Unite a Divided Washington

NMHC and RETTC say housing affordability is the likeliest area for compromise now that Democrats are set to control Congress alongside President Trump.
2 min read
Housing Affordability Could Unite a Divided Washington
  • NMHC and RETTC say Democrats have won both chambers, producing divided government, and argue housing costs are the issue candidates in both parties campaigned on.
  • About 20% of the 120th Congress will be new, which the groups see as a chance to educate lawmakers on supply, permitting and technology that can cut costs.
  • The apartment industry wants Congress to build on the ROAD to Housing Act and favors a balanced approach to affordability measures that avoids driving up costs.
Key Takeaways

Apartment industry leaders say housing affordability is the issue most likely to unite Washington after the midterms, according to a post from the National Multifamily Housing Council.

NMHC President Sharon Wilson Géno and Kevin Donnelly, executive director and chief advocacy officer of its RETTC affiliate, wrote that Democrats have taken both chambers of Congress, with some races still being counted.

A Shared Campaign Issue

With President Trump in office, the groups expect at least two years of split control. However, they see housing as rare common ground. Candidates from both parties campaigned on the cost of renting or buying a home.

They also see an opportunity in the incoming class. One in five members of the 120th Congress will be new. This gives the industry a chance to explain how federal policy can expand housing.

Practical Over Sweeping

A divided Washington favors practical, evidence-based bills over sweeping proposals, the authors argued. For example, they pointed to easing construction barriers and using technology to improve operating efficiency.

They also urged lawmakers to build on the 21st Century ROAD to Housing Act. In their view, the legislation laid groundwork on housing supply and red tape. Therefore, lawmakers should build on it rather than start over.

Zoom Out

Cost pressure remains central to the debate. As we covered, home building costs are rising across materials, labor, borrowing and regulation. Meanwhile, the Journal reported that Congress’s new housing law does not directly loosen the local rules that matter most.

Policy beyond the housing bill could also play a major role. Bill Ackman says work on releasing Fannie Mae and Freddie Mac could now begin. See our coverage of his comments.

Why It Matters

Operators will closely watch how the new Congress handles consumer-protection issues. The groups warned against overly broad demands for “corporate accountability.” Instead, they favor balanced measures that protect residents and support innovation without driving up rental costs.

NMHC wants to shape those discussions early. Its priorities also align with developers seeking faster permitting and fewer cost mandates.

What’s Next

Housing supply, permitting and rental pricing technology could feature in early committee agendas. Ultimately, final midterm tallies will determine the exact margins in each chamber.

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