President Biden to Call for Legislative Action to Curb Landlords’ Ability to Raise Rents

President Biden is set to address the pressing issue of skyrocketing rents in Las Vegas on Tuesday, calling for legislative action to curb landlords’ ability to raise rents. This proposal aims to provide relief to millions of working families and young Americans who are struggling to afford housing in today’s market.

Under the plan, landlords who raise annual rents by more than 5% would lose a key tax write-off on property depreciation for the next two years. This policy would impact landlords with more than 50 units in their portfolio, affecting over 20 million rental units in total.

The Biden administration has been pushing for various measures to address the affordability crisis in the housing market, including limiting rent increases on rentals built with federal tax credits and cracking down on rental junk fees. However, some of the more ambitious proposals, like those in Biden’s 2025 budget, have yet to gain traction.

While the President has expressed his commitment to capping rental increases, critics argue that rent caps could have a negative impact on housing supply. David Dworkin, CEO of the National Housing Conference, warned that rent caps may not be an effective solution to the housing affordability problem.

Despite the administration’s efforts, it is unlikely that Congress will take immediate action on this proposal. An administration official acknowledged that this is a measure that President Biden would continue to push for in a potential second term. Additionally, the White House faces challenges in addressing record high mortgage rates that are making homeownership unattainable for many first-time buyers.

As the debate over rent control continues, it remains to be seen how policymakers will navigate the complex issues surrounding housing affordability in the United States.