Expanding Choice and Increasing Supply: Housing Innovation in America
House Subcommittee on Housing and Insurance
2025-05-14
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Source: Congress.gov
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Without objection, the chair is authorized to call a recess of the subcommittee at any time. The title of today's hearing is Expanding Choice and Increasing Supply, Housing Innovation in America. Without objection, all members will have five legislative days to submit extraneous materials to the chair for inclusion in the record. I now recognize myself for four minutes for an opening statement. First and foremost, I'd like to thank all of our witnesses for being with us today, and I very much look forward to hearing your testimony on the topic of innovation in housing. In our March hearing, we examined the broader issue of housing supply and its shortage. That problem takes many forms, but one aspect that I have observed in my district is an absence of what is referred to as quote unquote workforce housing. According to data from the National Association of Home Builders, the median cost of constructing a new single family home in 2024 was $428,215. For many Americans, a home built at that cost is simply not affordable. We have government programs that focus on housing subsidies for low and very low income people. We have market rate developments that are able to meet some of the demand for higher income people. What we need is housing that can meet the needs of all the people that falls somewhere in between those two worlds. Maybe it's someone who has been working in a factory for years, saving up so that they can make the transition from renting to owning a home. Maybe it's a young person that is new to the workforce and dreams of financial stability and freedom that comes from having a place to call your own. Whatever their situation, I'm sure all of us have seen the dire need for housing supply that meets the need of this population in all of our districts. I know some of you may look at this problem and clamor for greater subsidies or more market intervention by the federal government, but the reality is we don't need more subsidies. We just need more homes at prices people can afford. In this hearing, we will examine how different building technology and home types can contribute to a solution that meets the demand from this population.
Whether it's manufactured homes, modular homes, or homes constructed using 3D printing, we need to explore all the options out there that can get housing built that is affordable to more Americans. In addition to better understanding how these technologies work and the potential savings they may provide, I hope this hearing will give us an opportunity to explore what barriers can become a hindrance to manufactured housing and modular housing development across the country. Manufactured housing is, by definition, built to a HUD code. And as a result, manufactured housing issues go directly through this committee's jurisdiction. Two bills noticed for this hearing specifically address current barriers to greater adoption of manufactured housing across the country. Number one, Congressman John Rose's expansion of attainable home ownership through Manufactured Housing Act would remove the requirement that manufactured homes be built on a permanent chassis. Number two, I have a draft bill notice to the hearing that would give HUD the authority to reject or approve manufacturing standards proposed by other regulators affecting manufactured homes. These proposals could go a long way towards removing some of the federal barriers that prevent greater utilization of manufactured homes. However, Additional barriers exist that are worth exploring further. Zoning and land use policies at the state and local level, challenges with financing mortgages, and a general lack of understanding of these housing types can all contribute to challenges in their utilization in areas across the country. I'm excited to dig deeper into each of these issues today, and I look forward to our witnesses' testimonies. The chair now recognizes the ranking member of the subcommittee, Mr. Kleber, for four minutes for an opening statement. Thank you, Mr. Chairman, and thank you for calling this hearing.
The United States faces a severe housing shortage. In fact, it may well be our number one domestic issue. Since the year 2000, growth in housing demand has far exceeded growth in housing supply. Housing costs have increased faster than household income and access to affordable housing and home ownership options for American families has decreased. Unproduction of housing impacts every corner of the nation. This also includes rural areas and smaller cities who need affordable housing to attract businesses and ensure that residents can live affordably. The combination of a national supply shortage and the escalating cost of home construction is raising awareness of new construction processes materials and technologies that can deliver housing in an affordable way i support housing that's safe i support housing that is decent and i support housing that is affordable safe decent and affordable housing by nature includes basic resident protections to ensure that housing does not become unsafe indecent and radically unaffordable One example of housing innovation under consideration today is manufactured housing. I've spoken with the Manufactured Housing Institute, and I'm very, very interested in how we can work together to expand safe, decent, and affordable housing options that protect residents. More than 20 million Americans live in manufactured housing. Manufactured housing is typically used by low-income families, seniors on limited incomes, people with disabilities, and those living in rural areas and small towns. The next generation of manufactured housing is more affordable, it is faster to construct, and it can be built to be energy efficient with little waste due to factory precision. There is value in reducing barriers to the adoption of many forms of affordable housing innovation in a responsible way. That includes in urban areas like Kansas City, Missouri, which I represent, and like Little Rock, represented by the chair of this committee.
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