Congressman Gonzalez Introduces the Affordable Homeownership Access Act

Statement

Today, Congressman Vicente Gonzalez (TX-15) introduced H.R. 5614, the Affordable Homeownership Access Act (AHAA) with Congressmen Henry Cuellar (TX-28), Andy Barr (KY-06), and Lance Gooden (TX-05). This bill seeks to provide working families with another access point to the home buying process. This program will allow individuals, small businesses, and families to sell their homes directly without paying the federal government licensing fees as though they were a mortgage originator.

The United States is facing a homelessness crisis and the lack of affordable housing is a major contributor to that problem. Home loans below $200,000 are scarce and significantly more so at the $100,000 price point.

"Our homelessness and affordable housing crises are partially self-inflicted. We are inadvertently penalizing lower-income Americans who work several jobs to make a living and earn a decent wage with our current regulations," said Congressman Gonzalez. "The current home buying system is disproportionately affecting communities of color and lower-income Americans like those situated in colonias along the southern border. I introduced the AHAA to help hardworking Americans who are facing a housing and credit crunch, and have ensured that those consumers who take advantage of this program do not forfeit critical consumer protections."

"Seller financing provides access to capital and affordable homeownership opportunities to underserved consumers as well as underserved communities across the nation," said Bob Repass, Co-Founder, Seller Finance Coalition. "For generations, seller financing has been a vital financing mechanism for working class and minority family's home purchasing transactions and has allowed thousands of families who would not otherwise be able to own their own home the opportunity to achieve the American dream of homeownership. The private capital provided by seller financers can help solve the affordable homeownership crisis."

The bill will enable real estate owners to be seller financers giving homebuyers access to another form of lending in the price points that they can afford, while maintaining consumer protections. Through seller financing, both sellers and buyers have greater access to conduct business that is still regulated by each State's real estate and consumer protection laws as well as State and Federal fair housing and equal opportunity laws.

In addition, the AHAA mandates that the Secretary of Housing and Urban Development and the Secretary of the Treasury conduct a study to help determine the effects of this policy change and measure its assistance to homebuyers.

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