Mortgage Action Alliance Issues Call to Action on Senate Federal Tax Credit Bill

The Mortgage Bankers Association’s grassroots advocacy arm, the Mortgage Action Alliance, issued a Call to Action Friday in support of recently introduced legislation to create a federal tax credit to fuel development.

Sens. Ben Cardin, D-Md., and Rob Portman, R-Ohio, recently introduced S. 98, the Neighborhood Homes Investment Act (NHIA), a bill that would create a new federal tax credit to fuel development. This bipartisan legislation – the bill text reflects MBA’s priorities due to its long-term advocacy efforts – would encourage the rehabilitation of single-family homes and potentially attract $100 billion in development activity to underserved rural and urban communities across the country.

MBA Senior Vice President of Legislative and Political Affairs Bill Killmer said the legislation builds on the success of the Low-Income Housing and New Markets Tax Credits, which support affordable rental housing and economic development, respectively, but are not designed to build or rehabilitate owner-occupied homes. S. 98 would specifically support the development of homes in rural communities struggling with the costs of new construction, as well as the rehabilitation of homes in blighted communities, where vacant homes depress property values and thwart broader revitalization efforts.

Killmer said MBA and its coalition partners plan to press Senate leadership to include this proposal within its upcoming/expected infrastructure package. “S. 98 has 4 co-sponsors and we need your help to expand its level of bipartisan support to encourage its swift consideration in the Senate,” he said.

For more information and to take action, click here.