U.S. Senate Passes Bipartisan Housing Bill Aimed at Boosting Supply and Lowering Costs

The US Senate passed a bipartisan housing bill that aims to reduce federal regulations and expand local control, marking one of the most sweeping efforts in recent decades to increase housing supply and lower prices, Michael Casey and Mary Clare Jalonick reported for The Associated Press (AP).

Massachusetts Sen. Elizabeth Warren said the average home costs more than $500,000.

The bill, which passed by an 85-5 vote and now heads to the House of Representatives, has been the focus of intense negotiations in recent weeks as lawmakers from both parties seek to address rising housing costs in an election year.

The final version of the legislation bans corporate investors from purchasing single-family homes but does not include a Senate provision that would have required investors to sell newly constructed homes within seven years.

The measure is the result of years of work to "lower costs, expand housing supply, cut red tape, protect taxpayers, and help more Americans achieve the dream of homeownership," said Senate Banking Committee Chairman Tim Scott, Republican of South Carolina, who worked with Democrats to advance the bill.

Massachusetts Sen. Elizabeth Warren, the top Democrat on the Banking Committee, said the legislation is the most significant housing bill to pass Congress since 1990, when the average home in the United States sold for about $150,000.

Today, the average home costs more than $500,000, she said.