In a continued effort to advance the dialogue on housing finance reform, a group of NMHC/NAA leaders recently participated in a bipartisan meeting with the staff of the Senate Committee on Banking, Housing and Urban Affairs. During the hour-long meeting, NMHC/NAA representatives discussed the unique characteristics of multifamily financing and provided more specifics on the necessary elements that a new housing finance system must include to avoid disruptions in the multifamily mortgage market.
Committee Chairman Tim Johnson (D-S.D.) and Ranking Member Mike Crapo (R-Idaho) have made it clear that housing finance reform is a key priority for the committee this year. They have reached out to NMHC/NAA and other industry stakeholders to solicit information on the critical components of a reformed housing finance system. NMHC/NAA responded and provided documents outlining broad recommendations for addressing the multifamily mortgage market in any housing finance reform effort, as well as more specific details on how a multifamily title could be incorporated in housing finance reform legislation modeled after the Housing Reform and Taxpayer Protection Act of 2013 (S. 1217), introduced by Senators Bob Corker (R-Tenn.) and Mark Warner (D-Va.). While the Corker-Warner bill is an important step in advancing the issue of housing financing reform, it’s unlikely to be the only bipartisan bill the committee will consider.
Banking Committee leaders have laid out an ambitious schedule of hearings, including one specific to the multifamily sector scheduled for October. The hearings are expected to be a precursor to the release of a draft proposal by Chairman Johnson and Ranking Member Crapo that could be considered by the committee before the end of the year. Chairman Johnson and Ranking Member Crapo have expressed their desire to craft the bill that is ultimately considered by the Banking Committee.
NMHC/NAA staff continues to work with various stakeholders to ensure that the unique characteristics inherent to the multifamily mortgage industry are reflected in reform proposals under consideration.