Lawyers and advocates want a presidential executive order tying yearly rent increases to inflation. It’s just an idea right now, but the White House agreed to meet with them.
WASHINGTON – A coalition of 54 tenant organizations and 17 policy groups drafted a proposed executive order that they hope President Joe Biden might sign. The White House declined to comment on it, but it did agree to meet with the coalition’s members on Nov. 14.
The groups don’t say they’re angling for a way to help renters, however – they’re calling it another tool to fight inflation.
“As of now, the Biden administration is dangerously silent on the single biggest line item in Americans’ budgets: their rent,” says Tara Raghuveer, director of the Homes Guarantee Campaign at People’s Action, according to Politico. “Signing this executive order is the clearest way that the president can fight inflation and take on the corporate landlords who are rent-gouging poor and middle-income families.”
The coalition’s proposal
- Cap annual rent increases at 3% or 1.5 times the rate of inflation, whichever is lower
- Apply the rule to government-backed mortgages, specifically those guaranteed by Fannie Mae and Freddie Mac.
If issued as proposed, Politico says it would impact about 27% of roughly 44 million rental units, according to the Urban Institute.
Politico says it saw a copy of the Nov. 14 invitation that claimed a focus on “tenant protections and issues related to rental affordability,” and that the White House confirmed the meeting.
Source: Politico.com
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