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Comment

Director Thompson,

I have worked in property management in Canon City, CO for 16 years. Affordable housing is a major concern and a lot of what is being discussed, forgets to think about the landlords providing this housing and their position, in life. We hear all the time "how much money" these landlords have and make. I can tell you, will very few exceptions, the landlords I manage for depend on rents to pay the mortgage and maintain the property, at this point, very few of them have extra funds and are not using it to fund a lavish lifestyle, like we hear about. The more regulations that come down are pushing landlords out of business, which is either turning these properties into condos or houses to purchase, not more rental properties. Housing definietely needs to be kept at a standard, however when landlords or left to a standards higher than a VA loan or CHFA loan it creates an unrealistic and unobtainable standard, that most landlords can not afford.
I have landlords that want to do work on their properties but have to budget for it, or they face the same difficulities, the rest of us do, do I repair this or do I feed my family? If my renter doesn't pay, how do I pay my mortgage. Regulations can be helpful, however, if you push out the smaller landlords, the housing crisis will get worse.

Thank you for the opportunity to respond to your Request for Input (RFI) on how the Federal Housing Finance Agency (FHFA), in its oversight of Fannie Mae and Freddie Mac, can best provide affordable housing opportunities for renters. Approximately 40% of the National Association of REALTORS®'s (NAR) 1.5 million members own at least one rental housing unit, playing a vital role in providing safe, quality, and affordable housing in neighborhoods nationwide.

As the FHFA examines ways to improve access to affordable housing, it is critical to acknowledge the most significant driver of housing unaffordability is the limited supply of available housing. According to NAR data, the United States has an underproduction gap of over 5.5 million units – a key underlying reason housing costs have increased. On top of this, inflation has increased the prices of goods and services for all Americans. As housing providers strive to provide affordable housing opportunities in their communities, they also contend with rising mortgage rates and increased costs for supplies, services, and maintenance. When inflation is high, the prices of materials increase. That means it becomes exceedingly more expensive for construction teams to build new homes or renovate existing ones. Ultimately, these high costs spill into the housing market and lift home prices for new builds and existing housing.

As REALTORS®, we are committed to upholding the very specific provisions of our contracts with residents, and we often go above and beyond what is required to ensure residents have safe, quality, and affordable places to live. Rental housing is a deeply complex issue that is unique to every community. Creating additional layers of policies to a space that is already heavily regulated by state and local governments will have severe unintended consequences for renters as housing providers are leaving the market in communities where affordable housing is sorely needed.

Affordable housing is pivotal to creating paths to upward mobility for people across the country. I appreciate your commitment to ensuring we achieve this goal without impeding the creation of much-needed housing supply. Kim Martin