As Congress begins to turn its attention to housing finance reform legislation, NLIHC has joined a coalition of national civil rights and fair housing organizations in support of comprehensive legislation that promotes access and affordability in the housing market.
This new coalition agrees that any reforms of Freddie Mac and Fannie Mae must preserve and enhance fair housing and anti-discrimination protections; provide broad access for borrowers, institutions, and regions; protect taxpayers from future bailouts; and preserve the entities’ affordable housing mission and the availability of inclusive loan products and services, including a significant expansion of the national Housing Trust Fund.
Although legislation has not been formally introduced, a draft bill crafted by Senators Bob Corker (R-TN) and Mark Warner (D-VA) would have capped funding for the national Housing Trust Fund to as low as $440 million – far less than the $3.5 billion proposed in legislation approved by the Senate Banking Committee in 2014. The draft bill would divert funding away from extremely low income households through the Housing Trust Fund into a Market Access Fund to support homeownership activities for households with relatively higher incomes. The draft bill would also eliminate Fannie Mae and Freddie Mac’s affordable housing goals and Duty to Serve obligations. If Senators Corker and Warner introduce legislation that is similar to the draft version, NLIHC will strongly oppose the bill.