Rural communities in the U.S. face housing shortages, just like some major cities, and policymakers spoke Thursday about potential solutions.
Lawmakers and industry experts discussed housing needs and solutions for rural pockets of the United States during a U.S. House Committee on Financial Services meeting. Four witnesses presented testimony from different industries on challenges they have seen and possible reforms, including from the banking sector and housing construction.
The committee hosts monthly housing-related talks. Discussions are designed to inform and inspire future policy proposals.
"Housing is the No. 1 issue I hear from my constituents," said Rep. Ayanna Pressley, Democrat of Massachusetts. "I’m certain it’s the same for all of my colleagues representing rural districts."
Witnesses presented several solutions. Here are their recommendations:
Lenders must find different pots of money
"We’re not talking about 60 units in rural Nebraska. We’re talking about one to five units, and trying to generate private-sector-type returns is really difficult. That’s why in many cases our banks get involved in CRA [Community Reinvestment Act] activities, CBFI [Community Development Financial Institutions] activities, those kinds of activities … because otherwise it doesn’t make financial sense."
— Richard Baier, president and CEO of Nebraska Bankers Association
Ensure families have final testimonials in place to pass on real estate
"We are desperate to get Congress to take a look at the risks half a million families in the United States face because their property is tied up in an heir situation that they can’t gain the full wealth of it."
— David Lipsetz, president and CEO of Housing Assistance Council
Lean on manufactured housing to boost supply
"Manufactured housing and some of the technologies and innovations are amazing — and what it will ... do to sort of just smooth out the construction process."
— Ian Maute, director of development for Buckeye Community Hope Foundation
Push vocational education to train young talent in rural communities
"We have to, as a country, embrace vocational education as a first and foremost. We also have to educate parents [that] a trade education is a wonderful opportunity, a wonderful career that doesn’t require a four-year college education that comes potentially with hundreds of thousands of dollars in debt."
— Baier