WASHINGTON — A bipartisan group of lawmakers introduced a bill Thursday aimed at reducing rental costs, responding to mounting pressure over the nation’s housing affordability crisis. The proposed legislation would expand tax incentives for landlords who cap rent increases and allocate $5 billion in federal grants to local governments for affordable housing projects.
The bill comes as median U.S. rents have risen 23% since 2020, outpacing wage growth in most metropolitan areas. ‘This is about preventing economic displacement of working families,’ said one congressional aide familiar with the negotiations, speaking on condition of anonymity.
Analysts note the proposal mirrors elements of successful rent stabilization programs in Oregon and California, though with stricter income-targeting requirements. Housing advocates cautiously welcomed the measure while noting its limitations. ‘The funding is a start, but won’t meet the scale of need,’ said a spokesperson for the National Low Income Housing Coalition.
If passed, the bill could face implementation challenges. State-level preemption laws in 25 states currently block local rent control ordinances, potentially limiting the policy’s reach. The House Financial Services Committee is expected to debate the measure next week.