Home Builders Applaud Bill to Restore Flow of Credit to HousingMarch 21st, 2013 by DWM Magazine
In a major step forward to spur job and economic growth and keep the housing recovery on track, Reps. Gary Miller (R-Calif.) and Carolyn McCarthy (D-N.Y.) introduced bipartisan legislation this week that would help provide homebuilders access to credit for viable home building projects.
“We commend Reps. Miller and McCarthy for acting to remove a major impediment to the housing recovery by promoting legislation that will enable home builders to obtain construction loans in order to put construction crews back to work and to meet rising demand across much of the nation for new homes,” said Rick Judson, chairman of the National Association of Home Builders (NAHB) and a home builder from Charlotte, N.C.
H.R. 1255, the Home Construction Lending Regulatory Improvement Act of 2013, would address specific regulatory obstacles to the credit needs of homebuilders.
In many housing markets where demand is increasing and the supply of new homes remains near record-lows, builders still cannot obtain construction loans because credit remains very tight in the aftermath of the housing downturn.
To restore liquidity and provide stable financing to the residential housing sector, the bill would remove barriers to lending while preserving the regulators’ ability to assure the safety and soundness of the financial institutions they oversee, says the NAHB.