NAHB Backs Bill Addressing Loans for Builders

Washington, DC, May 6, 2011 --  The National Association of Home Builders has praised a bill by Rep. Gary Miller (R-Calif.) and Rep. Brad Miller (D-N.C.) that addresses credit issues faced by home builders.

H.R. 1755, the Home Construction Lending Regulatory Improvement Act of 2011, would address specific regulatory obstacles to the credit needs of home builders.

In a letter to fellow lawmakers seeking support for their bill, Reps. Gary Miller and Brad Miller said that "one of the major reasons for this lack of credit is the overly restrictive actions by banking regulators, which have hindered federal and state chartered banks and thrifts' ability to make and maintain loans to qualified small home builders that have viable projects."

The legislation would grant authority and guidance to federal and state banking regulators to ensure that financial institutions that provide financing to home builders are permitted to make loans, restore liquidity and provide stable financing to the residential housing sector.