HUD "will play a critical role" in solving housing affordability issues
The Mortgage Bankers Association (MBA) is urging the US Senate to confirm Scott Turner as secretary of the Department of Housing and Urban Development (HUD).
A statement from MBA president and CEO Bob Broeksmit called on Senate leadership to schedule a floor vote on Turner’s confirmation after the Senate Banking Committee voted to advance his nomination on Thursday.
“Turner’s confirmation is an important step toward building his key staff and installing leadership at the Federal Housing Administration (FHA) and Ginnie Mae,” Broeksmit said.
He noted that HUD “will play a critical role” in addressing the ongoing challenges related to housing supply and affordability for both homeowners and renters.
“We are pleased that the Trump administration appears ready to tackle this issue,” Broeksmit added.
Broeksmit also pointed to the financial health of the FHA, which currently has a capital reserve ratio more than five times the statutory requirement. This position, he argued, provides an opportunity for the administration to reduce housing costs for low- to moderate-income Americans by lowering FHA mortgage insurance premiums.
He further suggested that similar measures could be taken to reduce costs associated with HUD’s multifamily programs, such as reducing multifamily mortgage insurance premiums and excessive escrow account requirements.
“We will continue to advocate for these and other important steps that will provide more abundant and affordable housing opportunities while protecting taxpayers,” Broeksmit said.
Committee vote split between party lines
The Senate Banking Committee’s vote to advance Turner’s nomination was split between party lines, with 13 members in favor and 11 against.
Democrats were against advancing the nomination and had asked committee chair Tim Scott to postpone the vote until Turner’s FBI background check is completed.
Senator Elizabeth Warren, a ranking member of the committee, said proceeding with the vote without a completed background check breaks “baseline” committee practice.
“The Committee’s customary practice, followed by both Republican and Democratic chairs, is to hold a vote on a nomination only after completion of the FBI background investigation and receipt of a briefing on it,” said Warren.
Turner previously served as executive director of the White House Opportunity and Revitalization Council during Donald Trump’s first term, working alongside former HUD secretary to boost development across the country’s Opportunity Zones.
In a previous statement, Trump praised Turner for “helping lead an unprecedented effort that transformed our country’s most distressed communities.”
“Scott will work alongside me to Make America Great Again for EVERY American,” the president added.
