Housing Finance Reform
A Look at Legislative Initiatives

NAHB supports comprehensive housing finance reform legislation based on S. 1217, the Housing Finance Reform and Taxpayer Protection Act of 2014, that was passed by the Senate Banking Committee in the last Congress. The legislation would fix the nation’s flawed housing finance system and breathe new life into the housing sector by providing a consistent and affordable supply of mortgage credit for single-family and multifamily housing.

After seven years of government conservatorship, our nation’s housing credit system remains in a constant state of uncertainty and confusion. Home builders, lenders and other market participants cannot adequately plan for the future and home buyers are either denied credit or paralyzed by the mixed messaging.

Absent reform, all critical policy decisions on the operations of Fannie Mae and Freddie Mac will continue to be left to one unelected regulator, bipartisan compromise that would fund nearly $5 billion in annual affordable housing programs would be put on the back burner, and taxpayers would be exposed to yet another government bailout. NAHB is urging the 114th Congress to advance long-overdue housing finance reform legislation based on the bipartisan Senate bill S. 1217.


NAHB strongly supports congressional efforts to reform the nation’s housing finance system, but it cannot support the bill introduced in the House during the last congressional session – the Protecting American Taxpayers and Homeowners Act (PATH) – in its present form. Legislation that was put forward by the Senate in the 113th Congress, on the other hand, would better define government’s limited role in backing a mortgage market predominantly supported by the private sector. This would ensure liquidity and stability for homeownership and rental housing.

NAHB looks forward to working with House and Senate lawmakers in the 114th Congress as they work toward a bipartisan consensus that will result in a robust housing finance system.

Get the facts about legislative initiatives to reform the housing finance system.

Read over questions and answers about the existing system and reform efforts.

Look over a comprehensive framework for housing finance system reform.

View experts’ quotes about the PATH Act and housing finance reform. 

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