Senator Ricketts’ Weekly Column: Proven Nebraska Housing Solutions Ready for America
Nebraska is the best place in the world to live. Earlier this year, U.S. News & World Report ranked Omaha as the second-best city for recent college grads to live. This is great news. It also emphasizes the work we need to continue to do to increase housing stock. More homes mean more affordable housing.
The average age of a first-time homebuyer is now 40 years old across the country. Just a decade ago, the average first-time homebuyer was 31. Red tape and regulations are driving up the cost of housing, making it more difficult for first-time Nebraska homebuyers. By one estimate, regulations account for nearly 25% of the cost of a single-family home. For a typical apartment development, it’s even worse. Regulations account for 40% of the cost. One Nebraska apartment builder told me he used to be able to build apartments for $15,000 per unit. Now, it costs him over $200,000 per unit.
This is not a new issue. When I was Governor, I took steps to address housing affordability. We passed a rural workforce housing bill. We created a $7 million Rural Workforce Housing Fund and later added $10 million more. Nebraska communities applied for grants, typically to make low-interest loans. The funds helped homebuilders build houses and apartment buildings in rural communities. They helped cover construction costs, down payment assistance, and technical assistance. This program was simple and successful.
As Senator, I am advocating for this proven Nebraska solution for the rest of the country. I’m working with my Republican colleagues to make it easier to build homes. This week, my Senate Republicans colleagues and I are working on the 21st Century ROAD to Housing Act. My Senate Banking Committee colleagues and I already passed this out of committee. That vote was bipartisan and unanimous. Then, we passed it on the Senate floor. The House passed its own version of the bill. We’re taking the best parts of the Senate bill and the best parts of the House bills to make sure we give Nebraskans the best product to make housing more affordable.
The 21st Century ROAD to Housing Act puts us on the path to make home ownership more affordable. The housing bill includes my bipartisan Streamlining Rural Housing Act to enhance efficiency and lower costs. Rural housing projects often draw on both the Department of Housing and Urban Development (HUD) and U.S. Department of Agriculture (USDA) for funding. They have overlapping review and permitting processes. My bill would consolidate these. That way housing developers only have to do them once. This will help us build more homes faster in Nebraska.
I have led efforts on three additional bills included in the 21st Century ROAD to Housing Act that will help the government leverage programs and processes that we already have. This includes the Rural Housing Regulatory Relief Act to streamline NEPA reviews. It also includes my Improving Housing Access Act and my Housing for America’s Middle-Class Act. I also have two bills to support veterans. The VA Home Loan Awareness Act and Veterans Affairs Loan Informed Disclosure (VALID) Act better inform veterans of the VA Home Loan program. They make veterans’ housing programs more accessible.
Improving housing access across Nebraska is just one piece of how we are making the Good Life more affordable. Cutting through bureaucratic red tape and increasing efficiency will increase housing stock and make housing more affordable. Senate Republicans are fighting to make homeownership more attainable for all Nebraskans. That’s why I am fighting to get the 21st Century ROAD to Housing Act signed into law.
My team and I are here to serve you. Contact us anytime by phone at 202-224-4224. You can also view my website at https://www.ricketts.senate.gov/contact.