MBA Advocacy Update: House Passes Amended Housing Bill; MBA Leads CFPB Letter on Targeted Reforms; MBA, Trades Push FHA on Appraisal Modernization; more

May 24, 2026

House Passes Amended Version of 21st Century ROAD to Housing Act

On Wednesday, MBA’s President and CEO Bob Broeksmit, CMB, released this statement after the House passed an amended version of the Senate-passed, 21st Century ROAD to Housing Act (H.R. 6644, as amended). The bill advanced with broad bipartisan support (396–13), marking a positive step forward for MBA and our members.

• The package, which was introduced (as a counterpoint to a March-passed Senate companion bill) late last week by House Financial Services Committee Chairman French Hill (R-AR) and Ranking Member Maxine Waters (D-CA), was altered further with input provided by the White House prior to yesterday’s vote. This latest House proposal fixes prior concerns related to FHA multifamily loan limits and single-family disclosure requirements, preserves important USDA Rural Housing Service reforms, and codifies the GSEs’ reconsideration of value appraisal processes without increasing lender liability. Notably, the bill no longer includes a proposed expansion of an inefficient “first look” requirement for servicers.

• The bill also fixes industry concerns around a provision that would have required disposition within seven years of newly constructed “build-to-rent (BTR)” homes acquired by large institutional investors (LIIs) – as defined by the bill. Several members of Congress are committed to working with MBA (and the Treasury Department upon enactment) to clarify the bill’s treatment of existing “horizontal multifamily” units not fully exempted from the LII section’s coverage.

Why it matters: MBA extends its deep appreciation to the Mortgage Action Alliance (MAA) and the thousands of grassroots advocates who responded to repeated Calls to Action — especially during MAA Action Week (May 11–15) — that helped educate House lawmakers and build support for a substantially refined House package. MBA’s legislative and political affairs team, reinforced by multiple letters sent independently and with housing partners, also led a sustained direct lobbying effort that ensured the final House bill was improved. In a letter from MBA Chief Lobbyist and SVP for Legislative and Political Affairs Bill Killmer and two joint trades letters (here and here) to the House ahead of the vote, MBA indicated its support for the overall proposal, providing specific commentary on key sections of the package and other pertinent measures.

What’s next: MBA remains engaged with House and Senate leaders and the Administration on this housing package and its key provisions. Senate Banking Committee leaders indicated mid-week that there is “more work to do” to respond to the overwhelming House vote. We will continue to monitor next steps planned in the Senate in pursuit of the best possible bill that can be sent to President Trump’s desk for his signature in the coming days and weeks.

For more information, please contact Rachel Kelley  at (202) 557-2816, Madisyn Rhone at (202) 557-2741, George Rogers at (202) 557-2797, or Jeremy Green at (202) 557-2849.

Joint Trades Urge CFPB to Advance Targeted, Mortgage Relief

The led a coalition of trade groups in a letter sent this week to the Consumer Financial Protection Bureau (CFPB) that urges the Bureau to prioritize targeted regulatory reforms in order to implement President Trump’s March 2026 Executive Order (EO), “Promoting Access to Mortgage Credit.”

Go deeper: The letter, in addition to completing pending rulemakings (such as Regulation X servicing), recommends that the Bureau should modernize Loan Originator Compensation rules, reform TRID tolerances, cures, and timing requirements, and update HMDA reporting thresholds to reduce the costs of homeownership and expand access to credit.

Why it matters: The letter reflects broad industry consensus on specific and targeted regulatory reforms necessary to expeditiously carry out the EO and modernize overly burdensome rules implemented under the Dodd-Frank Act that increased costs for lenders and consumers without commensurate benefit.

• Importantly, the letter reflects unified agreement across the mortgage banking, bank and credit union trades urging CFPB to take a broad-based approach that ensures regulatory relief and cost savings are extended to all market participants and borrowers. The recommendations also closely align with MBA’s April 2026 letter in response to the Bureau’s Strategic Plans for 2026-2030.

What’s next: MBA will continue engaging with the Bureau as it begins the regulatory process to implement the EO.

For more information, please contact Brendan Kelleher at (202) 557-2779.

MBA, Trades Push FHA on Appraisal Modernization

MBA and other trades recently submitted a joint letter to the Department of Housing and Urban Development (HUD) supporting the modernization of the FHA appraisal process to align it with President Trump’s March 2026 Executive Order, “Promoting Access to Mortgage Credit.”

Go deeper: The letter calls for FHA to align its valuation framework with that of the GSEs, including replacing FHA’s unique Minimum Property Requirements with standardized property condition ratings and separating Direct Endorsement credit underwriting and appraisal underwriting experience requirements.

• The letter also urges FHA to remove its outdated requirement for post-closing field reviews and adopt a desk review process, which would reduce costs for lenders and further align FHA with the GSEs.

Why it matters: These recommendations are intended to improve efficiency, reduce friction in the homebuying process, and enhance low and moderate-income borrowers’ access to the FHA program.

What’s next: MBA will continue to engage with the FHA to address its minimum property and underwriting requirements. MBA and the joint trades are also collaborating on appraisal policy recommendations for VA and FHFA.

For more information, please contact Darnell Peterson at (202) 557-2922.

HUD Seeks Feedback on Proposed Borrower Eligibility Requirements

Last week, HUD released a draft Mortgagee Letter (ML) proposing updates to FHA borrower eligibility requirements related to delinquent federal debt and child support obligations.

• HUD is seeking feedback on the proposal to revise FHA’s policies concerning Treasury’s Do Not Pay system and clarify how lenders must evaluate delinquent child support obligations during underwriting.

Why it matters: The proposed changes, according to FHA, are intended to streamline borrower eligibility standards, improve consistency in underwriting practices, and align FHA requirements more closely with current federal debt collection policies.

What’s next: MBA is reviewing the proposal and will hold a call on Wednesday, May 27, to collect feedback. Please reach out to Darnell Peterson for the call information. Comments are due June 18, 2026.           

For more information, please contact Darnell Peterson at (202) 557-2922.

House Passes Disabled Vets Package; Housing-Related Offsets Utilized

Thursday afternoon, the House passed the Sharri Briley and Eric Edmundson Veterans Benefits Expansion Act (H.R. 6047) by a vote of 235 to 179. The bill would significantly increase benefits for catastrophically service-connected disabled veterans with traumatic brain injuries (and their survivors) and expand the eligibility requirements for National Guard and Reservists – including the opportunity to utilize the VA home loan program benefit.

• The legislation is strongly supported by a wide range of veteran service organizations (VSOs) and other stakeholders.

Go deeper: As prescribed under current House rules and the Statutory Pay-As-You-Go (PAYGO) Act of 2010, the costs associated with expanding these benefits are fully offset, including changes that:

• increase the Interest Rate Reduction Refinance Loan (IRRRL) refinancing fee from 0.5% to 1.42%;

• increase the VA home loan funding fee for borrowers (including non-veterans) who are assuming a current VA home loan from .5% to 1.0%;

• extend current home loan funding fees through the current budget window; and,

• expand VA home loan eligibility to National Guard and Reservists from 90 days to 14 days of active-duty service with a 1% fee added.

Why it matters: While indicating our members’ support for the intent and worthy nature of the bill’s expansion of benefits for severely disabled veterans and their families, MBA indicated its strong opposition to the proposed housing-related offsets scheduled to be used to pay for the legislation in a February letter prior to the bill’s eventual markup by the full House Veterans’ Affairs Committee (MBA recirculated that letter prior to the full House floor vote yesterday).

What’s next: At the time of this writing, the timing for any pending Senate action on H.R. 6047 is unclear. MBA will remain in close contact with the key engaged staff on both the majority and minority sides of the respective House and Senate Veterans’ Affairs Committees regarding any scheduling-related next steps – or potential for changes to the offsets in the proposal.

For more information, please contact Rachel Kelley  at (202) 557-2816 and/or Madisyn Rhone at (202) 557-2741.

MORPAC Action Week Is Coming — And We Need YOU! | June 1–5

MORPAC Action Week is right around the corner, and excitement is building. From June 1–5, companies across the real estate finance community will unite to strengthen our association’s PAC — engaging in a focused week of engagement, unity, and impact.

During this effort, our industry rallies behind MORPAC, MBA’s political action committee (PAC) that help to ensure our priorities are heard in Washington. We are calling on every member company to sign up and run a MORPAC campaign during Action Week — whether that is a targeted outreach effort, a company‑wide challenge, or a creative internal push that gets your team energized and involved. Your engagement — at any level — strengthens our industry’s influence on Capitol Hill and helps ensure we remain a trusted, effective voice in the conversations that shape your future operations.

Go deeper: Backed by thousands of individual contributors, MBA’s MORPAC provides the access and relationships needed to help policymakers understand the real‑world impact of their decisions. This broad base of support empowers MBA to engage directly with key lawmakers, share industry expertise, and advocate for policies that protect our businesses, our employees, and the customers we serve.

Why it matters: MORPAC is the voice of the real estate finance industry. It fuels MBA’s advocacy efforts, supports champions of our issues on Capitol Hill, and helps shape the ever‑changing policy landscape that affects every member company, every employee, and every customer you serve.

What’s next: During MORPAC Action Week, MBA will host two special MORPAC Speaker Series events featuring the political directors of the Democratic Senatorial Campaign Committee (DSCC) and the National Republican Senatorial Committee (NRSC). These briefings offer members valuable insight into the dynamics shaping the political and policy environment on Capitol Hill. RSVP here.

For more information, please contact Erin Reilly at 802-236-4651 and Jamey Lynch, AMP at 561-301-6432.

Upcoming MBA Education Webinars on Critical Industry Issues

MBA Education continues to deliver timely single-family programming that covers the spectrum of challenges, obstacles and solutions pertaining to our industry. Below, please see a list of upcoming and recent webinars – all complimentary to MBA members:

• Unlocking Opportunity: Innovative Solutions for Affordable Housing in Overlooked Markets – June 9

• New and Evolving Loss Mitigation Options – June 10

• What Happens After a Reverse Mortgage Closes? – June 26

• Analyzing the 2025 Mortgage Market: A Deep Dive into New HMDA Data – July 2

MBA members can register for any of the above events and view recent webinar recordings by clicking here.

For more information, please contact David Upbin at (202) 557-2931.

Tags:

Back to Full Issue