If you’ve been in real estate for any length of time, you’ve probably had this conversation more times than you can count.
A young couple finally finds a home they love, only to lose it because of the multiple offers. A growing family wants to move up, but there’s simply nothing available in their price range. A homeowner would love to sell, but wonders, “Where would I go?” Even investors and builders have faced the same challenge as inventory has remained tight year after year.
No matter who you talk to, the conversation almost always finds its way back to the same topic: We simply don’t have enough homes.
It’s a challenge that’s been discussed for years, and one that affects nearly everyone connected to real estate. Buyers feel it. Sellers feel it. Real estate agents navigate it every day. Mortgage brokers work through it with their clients, and builders continue searching for ways to help meet the demand.
Everyone agrees we need more housing.
The question remains however: What are we actually going to do about it?
Last week, something significant happened.
After nearly two years of bipartisan collaboration, Congress passed the 21st Century ROAD to Housing Act, one of the most comprehensive housing packages in recent memory. Rather than focusing on a single issue, the legislation combines nearly 50 different housing initiatives aimed at increasing housing supply, improving affordability, expanding access to homeownership, strengthening housing finance, and supporting our nation’s veterans.
Now, before your eyes glaze over because we mentioned a piece of legislation, stay with us for a minute!
The reason this caught our attention isn’t because another bill became law. It’s because this one recognizes something the real estate industry has understood for years: There isn’t just one reason America has a housing shortage, and there isn’t going to be just one solution.
Instead, this legislation takes a much broader approach. It includes measures designed to encourage new housing construction, streamline permitting, support modular and manufactured housing, preserve existing housing, strengthen affordable housing development, improve access to financing, expand opportunities for underserved borrowers, and improve housing resources for veterans.
Will this solve the housing shortage next year?
Probably not.
Communities still need to approve projects. Builders still need to secure financing. Homes still have to be designed, permitted, and constructed. None of those things happen overnight.
But for the first time in many years, we’re seeing a coordinated effort that attacks the problem from several different directions instead of hoping one policy can fix everything.
That’s encouraging!
As real estate and lending professionals, we know that more housing means more opportunities. More inventory gives buyers more choices. More homes create more transactions. More development strengthens communities. While nobody knows exactly how much impact this legislation will have over the coming years, it’s refreshing to see housing remain a national priority instead of simply another talking point.
For Real estate agents and mortgage brokers, it’s something worth paying attention to because today’s legislation often shapes tomorrow’s opportunities.
The Pacific Direct Mortgage Bottom Line
Passing legislation is an important first step, but new housing doesn’t become reality until someone has the financing to move a project forward.
Whether it’s a builder breaking ground on a new development, a homeowner adding an ADU, an investor purchasing land, or a borrower whose situation falls outside conventional lending guidelines, access to a real estate loan is often what turns an idea into a completed project!
Pacific Direct Mortgage’s goal is to work alongside real estate agents and mortgage brokers, helping finance the scenarios traditional lenders often can’t. Our Private Money programs provide flexible, equity-based solutions for bridge loans, ADUs, investment properties, self-employed borrowers, difficult income documentation, credit challenges, and many other unique situations.
Whether you’re helping a builder get started, working with a buyer who doesn’t quite fit conventional guidelines, or simply have a scenario you’d like to discuss, we’d be happy to review it and explore how we may be able to help! It’s just one of the reasons we’re the Private Money Lender everyone is starting to talk about.
