America deserves a better housing finance system - one that’s designed for homeowners and taxpayers where every American works hard and plays by the rules so that they can have opportunities and make choices to buy a home they can actually afford to keep. Consumers must be afforded choice, free from arbitrary government monopolies that ban options or emphasize certain government-preferred products over others.
America needs a housing policy that is sustainable over time, not one that causes endless boom-bust cycles in real estate that harm our economy. Fannie Mae and Freddie Mac required the largest taxpayer-funded bailout – nearly $200 billion. Any housing finance reform initiative must ensure that this onus is never placed on taxpayers again. Reforming the housing finance system would ensure equal market access for lenders of all sizes and business models, allowing for more competitive prices to occur. Capital, liquidity, and reliability are essential to successfully reform the housing finance system to help markets function without the threat of another crisis. Artificial barriers to private capital must be removed to attract investment and encourage innovation.
As a senior member of the House Financial Services Committee, I support bipartisan legislation that supports fiscal responsibility and the American dream of homeownership. On July 28, 2017. I introduced H.R. 3556, the Taxpayer Protections and Market Access for Mortgage Finance Act, legislation requiring the GSEs to increase credit risk transfers (CRT) with the private sector. This bill will stabilize the housing market for decades to come and lays a foundation for future GSE reforms.
Additionally, I recently introduced legislation, alongside Rep. Sherman (D-CA), the PACE Act of 2017 (H.R. 1958), which requires homeowners taking loans under the Property Assessed Clean Energy program be provided clear disclosures about the cost of the loan and the status as a lien on their home.
I also introduced the Repeatedly Flooded Communities Preparation Act (H.R. 1558) with Rep. Blumenauer (D-OR), which requires communities participating in the National Flood Insurance Program (NFIP) with high numbers of repeatedly flooded properties to develop mitigation plans rather than continually rebuilding at a high cost to taxpayers.