On March 12, the U.S. Senate passed a major housing bill, the 21st Century ROAD to Housing Act, the first in 35 years and touted for its broad bipartisan support. The legislation represents approximately 40 separate bills packaged together to address housing affordability and supply.

Overall, the bill is designed to lower housing costs by expanding supply, cutting red tape, and empowering local communities to build more homes. Much of the bill mirrors legislation passed by the House earlier this year. However, the final Senate bill included section 901, which places a prohibition on large institutional investors from purchasing single-family homes. This was largely a nod to President Trump’s promise to ban private equity in the single-family housing market, but also an opportunity for Senate Democrats to advance a key priority regarding private investment. Its stated purpose is to boost homeownership, but the definition of single-family home includes senior living if a property contains a duplex, cottage or other standalone unit. There is an exception for “55 and over” housing but only for new construction, renovations and rental conversions. Importantly, it does not cover existing units.

Given the other significant objections to the provisions in this section, many House leaders have expressed a desire to conference with the Senate to address the differences in their bills. On March 13, ASHA, Argentum and NCAL sent a letter to House leadership and committee leaders calling on them to clarify our concerns before this bill is advanced by the full House. ASHA will remain focused on urging the changes needed and will call on members to reach out to Congress when appropriate