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State affordable housing push includes renters

A push to provide affordable housing is bringing the one-third of Pennsylvanians who pay rent under its umbrella.

The lack of available and affordable homes in Pennsylvania has gotten the lion’s share of attention in the debate over housing affordability in recent years, especially since the COVID-19 pandemic.

But renters are now getting some attention too.

Gov. Josh Shapiro highlighted several legislative proposals to specifically help renters in his recent state budget address.

The impulse to help both aspiring homeowners and renters with rising costs is understandable.

Many frustrated would-be homebuyers are currently renters. Rising monthly rents can make it difficult for them to save for a down payment on a house.

On a macro level, Shapiro’s proposal to borrow $1 billion to finance big infrastructure projects for energy, local governments building and housing includes both homes and apartment buildings.

Chiefly, Shapiro called for legislation to put a statewide cap on rental application fees. Landlords charge these fees ostensibly to cover the cost of background checks.

But the governor said the cost of fees have zoomed two or three times beyond that.

Shapiro wants application fees “limited to the actual cost of screening, and prohibiting landlords from charging a fee before a prospective tenant can view a property.”

He also called for legislation to help renters by allowing them to terminate a lease without financial penalty to escape domestic violence.

Legislation is needed to seal eviction records for people who were not actually evicted so they don’t hinder them from finding lodging or a job, said Shapiro.

The Democratic-controlled House approved House Bill 1095 sponsored by Rep. Ismail Smith-Wade-El, D-Lancaster, limiting access to eviction records last year by a 105-98 vote.

Shapiro also wants to limit landlords from denying someone lodging solely because of old or non-violent criminal records.

Manufactured housing

And last, but not least, Shapiro is also calling for greater protections for those who live in manufactured housing communities. Some 56,000 households in Pennsylvania are in that category.

The governor wants to put limits on lot rents that manufactured homeowners pay even If they own their actual home.

In his budget address, Shapiro related the story of a couple in that situation who saw their lot rent nearly double in six years.

Lot rents are skyrocketing as private equity investors buy up manufactured housing communities, said Shapiro.

Sen. Judy Schwank, D-Berks, has sponsored Senate Bill 745 tying annual lot rent increases to the Consumer Price Index.

The Pennsylvania Manufactured Housing Association said blanket lot rent caps don’t reflect financial pressures facing community owners.

Rent control policies ignore the rising insurance premiums, utility upgrades, property taxes and infrastructure costs that owners face, the association said.

“We should focus on solutions that support both residents and property owners: addressing zoning restrictions, increasing rental assistance for those truly in need, creating incentives for responsible ownership…” the association said.

The Pennsylvania Residential Owners Association is reviewing the rent proposals, said lobbyist Richard Allen. PROA will take a position when bills are introduced, he said.

The association supports fair and reasonable housing regulations, he said.

“The governor has an aggressive plan to deal with the housing shortage in Pennsylvania which is driving up the cost of rent,” said Rep. Joe Ciresi, D-Montgomery.

The Housing Alliance of Pennsylvania includes limiting access to eviction records and resolving rent payment disputes between landlords and at-risk tenants among its top legislative priorities.

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