By Sharon Wilson Géno, NMHC President
Sharon Wilson Géno is the president of NMHC. She is a 30-year veteran of the housing industry, during which she has helped guide numerous for-profit, nonprofit and governmental entities around housing affordability, community development and other housing policy challenges.
In her stump speech in Atlanta on Tuesday, Vice President Harris stated, “On day one, I will take on price gouging and bring down costs. We will ban more of those hidden fees and surprise late charges that banks and other companies use to pad their profits. We will take on corporate landlords and cap unfair rent increases.”
This concept follows the proposal put forth by President Biden in the waning days of his campaign, calling on Congress to enact a plan to effectively limit rent increase to 5% on apartments in portfolios over 50 units. His proposal was widely criticized by economists and commentators on the right and the left as exacerbating the housing crisis by limiting the development of much needed new housing to address our national shortage, increasing costs for existing renters and failing to help those of low to modest means who need assistance. Read NMHC’s fact check here.
Like gasoline, groceries and other essentials, the cost of rental housing surged temporarily post-COVID at a time when our country already faced a severe housing shortage. In addition, costs such as insurance, state and local taxes and labor all increased significantly. Putting aside the fact that even President Biden acknowledged that capping rents nationally would require Congressional action, rents have already declined as more apartments have come on-line in recent months.
The only proven way to ensure everyone has access to an affordable home is to build more housing of all types and at all price points. We hope that Vice President, and now candidate, Harris will work with all stakeholders to develop a housing policy that focuses on solutions that work, including more resources for Federal programs to help renters in financial distress, Federal incentives to break down local barriers to building more rental housing and making excess Federal land easily available for housing construction.
Learn more about solutions at the Housing Solutions Coalition.
