National Association of Home Builders (NAHB) CEO Jerry Howard testified before Congress on July 14 and called on lawmakers to enact key policy proposals that will help home builders to expand the housing supply, reduce the housing deficit and improve housing affordability for all Americans.
During a hearing before the House Ways and Means Subcommittee on Oversight on the topic of expanding housing access to all Americans, Howard noted that rising home prices, apartment rents and construction costs represent additional risks to housing affordability for prospective home buyers and renters.
“Over the past decade, the residential construction industry has underbuilt and not kept pace with demand due to several supply-side constraints,” said Howard. “These include a lack of skilled labor and buildable lots, tight lending conditions, shortages and rapidly rising prices for building materials, and excessive regulatory burdens that have added approximately 25 percent to the cost of a single-family home and 33 percent to a multifamily unit. Progress must be made on all fronts to ease the supply-side challenges that are holding back housing production.”
With the persistent lack of housing stock representing the most significant challenge for prospective home buyers, Howard called on Congress and the Biden administration to take the following steps to expand access to affordable housing: fix the building materials supply chain; improve the Low-Income Housing Tax Credit; and reformulate current homeownership tax incentives.