Viewpoints
Bipartisan collaboration and industry advocacy help preserve the build-to-rent housing sector, a growing option for renters and communities.
By Valerie M. Sargent, Broadband Communities and Colin P. Dunn, NMHC
Just a few months ago, the outlook for the build-to-rent (BTR) sector of the rental housing industry appeared uncertain. Proposed legislative language aimed at curbing institutional investment in single family housing threatened to capture an entirely different housing model, one that has become an increasingly important contributor to the nation’s housing supply.
Now, thanks to months of education, collaboration, and bipartisan negotiation, the picture looks markedly different. The 21st Century ROAD to Housing Act, a comprehensive housing package that passed both chambers of Congress by overwhelming bipartisan margins, includes revised language that better distinguishes build to rent communities from the investment practices the legislation originally sought to address. While final enactment remained pending at the time of this writing, the negotiated changes represent a significant policy victory for the rental housing industry and the residents these communities serve.
Education changed the conversation
Early versions of the legislation raised alarm among housing providers because provisions designed to limit large institutional ownership of single-family homes could have unintentionally jeopardized purpose-built rental communities. Unlike investors purchasing existing homes on the open market, build-to-rent (BTR) developers create entirely new housing inventory, expanding supply rather than competing for it. Recognizing the potential consequences, the National Multifamily Housing Council (NMHC), National Apartment Association (NAA), and a coalition of numerous industry stakeholders launched an extensive advocacy effort to educate lawmakers about the distinction.
That education extended beyond policy papers and meetings in Washington. Industry representatives highlighted how BTR communities serve young professionals, growing families, retirees, and workforce households seeking additional space and flexibility without the financial commitment of homeownership. They also demonstrated that these developments are creating housing where none previously existed, helping address persistent supply shortages in markets across the country.
Clarifying what build to rent is and is not
One of the central themes of the advocacy effort was correcting a common misconception.
Public discussions around institutional ownership often focus on investment firms purchasing existing single-family homes following the Great Recession and converting them into rental properties. BTR communities operate under an entirely different model. They are planned, purpose-built neighborhoods designed from the outset as rental housing and represent net new additions to the housing stock.
By clearly articulating this distinction, advocates helped policymakers better understand that restricting BTR development could inadvertently reduce housing choices and undermine affordability goals rather than advance them.
Bipartisan cooperation produces a better outcome
Perhaps equally notable was the process by which the revised language emerged.
After months of negotiations, congressional leadership from both parties and both chambers reached agreement on updated provisions that substantially improved the treatment of build-to-rent housing. The legislation ultimately passed the Senate by an 85 to 5 vote, and the House by a 358 to 32 margin, reflecting rare bipartisan consensus on the importance of addressing housing affordability.
For the rental housing industry, the revised language provides significantly greater certainty for developers, investors, contractors, and residents while preserving a model that has experienced growth over the past decade.
The process also underscored a broader policy shift: increasing recognition among lawmakers that expanding housing supply is fundamental to improving affordability. While many approaches can contribute to solving the housing crisis, encouraging the creation of new housing remains one of the most effective long-term strategies.
Advocacy makes the difference
The evolution of the legislation demonstrates the value of sustained engagement between policymakers and industry experts.
Rather than opposing reform outright, housing organizations focused on education, providing practical examples of how BTR communities operate and the residents they serve.
Conversations with lawmakers, agency officials, and housing leaders helped move the discussion beyond broad assumptions about institutional investment toward a more nuanced understanding of modern housing models.
That effort appears to have paid dividends. The negotiated changes preserve Congress’s broader policy objectives while avoiding unintended consequences that could have discouraged future development of build-to-rent communities.
Looking ahead
As of this writing, the legislation passed both the House and Senate with overwhelming bipartisan support. Although a signing ceremony with President Donald J. Trump had been scheduled for June 24, 2026, it did not end up going ahead as planned. House Speaker Mike Johnson subsequently presented the legislation to the president on June 29 for consideration, starting a 10-day clock (excluding Sundays) for the president to sign or veto the bill.
After that time, the bill will automatically become law if no action is taken. The final enactment therefore remains pending at the time of publication.
Regardless of the remaining process, the bipartisan agreement reached by lawmakers represents a meaningful milestone for the rental housing industry.
Beyond its significance for the BTR sector, the 21st Century ROAD to Housing Act represents one of the most substantial federal housing reform efforts in decades. The legislation includes a range of measures intended to modernize housing programs, reduce barriers to development, and encourage the production and preservation of housing nationwide. Collectively, these reforms are designed to help communities expand housing supply, improve affordability, and create additional pathways to both rental housing and homeownership.
Through thoughtful advocacy and collaboration, the process demonstrated that informed engagement and bipartisan dialogue can lead to policy solutions that remove barriers, preserve housing choice, and support the shared goal of making housing more attainable for Americans across the country.
Colin P. Dunn is VP of Public Affairs and Media Relations for the National Multifamily Housing Council (NMHC) and can be reached at cpdunn@nmhc.org. Valerie M. Sargent is a multifamily speaker, trainer and executive consultant, and is the multifamily news correspondent for Broadband Communities. Visit her website to learn more.
