Find a Contractor Buyer's Guide
MCAA Logo
Member Login JOIN
NEWS
Join Us For The 75th Anniversary Midyear Meeting Sep 7-11 ↗

Home Construction Lending Regulatory Improvement Act of 2011

Words: Brad Miller/Public/News/20110711060000-1.jpg" width="600" height="338" border="0" alt="Unemployment, especially in the construction sector, is unacceptably high." />
Unemployment, especially in the construction sector, is unacceptably high.
The Great Recession has hit the housing industry particularly hard. More than 1.4 million housing jobs have been lost since April 2006, and unemployment in the construction sector is running at a whopping 16 percent. This is clearly unacceptable.

In order to reverse this trend, I have introduced legislation with Gary Miller that will help put Americans back to work and provide a much-needed boost to the housing industry. H.R. 1755, the Home Construction Lending Regulatory Improvement Act of 2011, is designed to restore lending for viable home-building projects and discourage lenders from calling construction loans where payments are current.

Credit is the lifeblood of the housing sector, but in the current regulatory climate, credit for new housing production has been choked off. This has significant repercussions for the many professions who rely on a healthy housing industry for their livelihoods. When new home production remains dormant, roofers, carpenters, bricklayers, electricians and scores of workers in many other trades are idled.

Some markets have a glut of homes for sale, but inventories of new homes are nearly depleted in other markets. In these markets, builders should be gearing up to meet demand, create new jobs and keep the expansion moving forward. Unfortunately, production remains stymied, because builders in these locations cannot get credit from lending institutions to begin work on new homes.

Home builders cannot keep their doors open and create jobs in their communities if they cannot get credit to build even pre-sold homes. And, builders in the middle of sound projects cannot pay subcontractors and other materials and service providers, if lenders will not grant routine loan extensions, or if banks require payment in full before homes can be finished and delivered.

Restoring the flow of credit to housing will provide a positive ripple effect in communities across the nation as construction workers spend their income locally and building supply companies expand, hire more employees and pay additional taxes as they sell to home builders.

Factoring in the effect of the housing downturn on industries like masonry that provide materials and services to home builders, the total impact of the housing slump has been the loss of more than 3 million jobs and $145 billion in wages in all housing-related industries.

When you consider the enormity of the total number of jobs attached to housing, a sector that accounts for 15 percent of the nation’s gross domestic product, enacting this legislation is vital to putting our nation back to work.
About: Legislative
 0
Using Respirators for Silica Exposure
July 2025

Some in the masonry industry have expressed interest in respirator use as protection from harmful exposure to silica. This topic is of paramount importance due to its impact on our workers and the serious health effects of silica exposure. For those new t

Zach Everett
Read More
From Bikes to Buildings: The Importance of Embracing Rainscreen Wall Designs and the New Building Codes.
July 2025

Have you ever been asked to do a project over the course of your lifetime? For example, when my kids were little, my wife asked me to assemble their bicycles. So, I opened the box, dumped out the contents, and cast aside whatever I thought was unnecessary

Keith Lolley
MAP Partner
Read More
Laying the Foundation for Growth: Concrete Masonry Checkoff Unveils Five-Year Vision for Industry
July 2025

The Concrete Masonry Checkoff (CMC) put the finishing touches on an ambitious five-year vision for the industry, targeting a 20% increase in market share, driven by increased demand for concrete masonry products. “This is about building exquisite, enduri

Industry News
Read More
Five of the Seven Chimneys Have Been Saved: Project Chimney Update
July 2025

In the wake of the devastating January wildfires that swept through Los Angeles's Pacific Palisades, a remarkable preservation effort is underway, spearheaded by Project Chimney, an initiative led by Evan Hall, founding director of the non-profit House Mu

Justin Stengel
Industry News
Read More