WeVote
Log In

Bill

Bill

HR 9472

The Protecting Homeowners from Squatters Act

119th Congress Introduced by Mike Lawler

The bill withholds federal funds and mortgage support from jurisdictions that permit squatting or grant squatters tenancy rights, tightening anti-squatting policy nationwide.

Introduced in House
0
WeVote Research Nonpartisan
Bill Summary · HR 9472

Overview

The Protecting Homeowners from Squatters Act (H.R. 9472) aims to deter squatting by restricting federal funding and mortgage support to jurisdictions that permit squatting or grant tenants special status to squatters. The bill sets forth findings, prohibitions, and implementation timelines across housing programs, federal mortgage support, and related regulations.

Purpose and intent

  • To prevent federal funds and mortgage support from benefiting jurisdictions that allow squatting or confer tenancy rights to squatters.
  • To strengthen protections for real estate collateral used in government-backed loans and to ensure local enforcement actions address squatting promptly.
  • To define squatting in a uniform way for purposes of federal funding eligibility and mortgage support.

Key provisions and changes

1) Congressional findings

  • Squatting is defined as unlawfully entering a property and residing there for consecutive days without the owner's permission, with no rent or rental contract.
  • Local law enforcement should expeditiously remove squatters and prosecute per local law.
  • Federal benefits (loans, guarantees, subsidies, tax credits) should not incentivize or reinforce squatting.
  • Real estate collateral securing federal or government-sponsored loans is at risk if squatting occurs.

2) Prohibition on Community Development Block Grant (CDBG) funding

  • Amends Section 104 of the Housing and Community Development Act of 1974 to add a new subsection (n) that:
    • Prohibits allocating and providing CDBG funds to units of general local government that permit squatting or confer tenancy rights to squatters.
    • Requires corrective actions by jurisdictions to remedy the prohibition and allows for certification by the Secretary that actions are sufficient for continued funding.
    • Requires the Secretary to publish publicly, for each fiscal year, a list of units prohibited from receiving funds and the justification for each listing.
    • Defines squatting as entering a property without permission and residing for 10 or more consecutive days without rent or a rental contract.

3) Prohibition on federal mortgage support

  • Prohibits federal support for any residential loan (1–4 family units, including condos/coops) if the property is in a jurisdiction currently prohibited from receiving CDBG funds under the new provision.
  • Heads of affected federal agencies must jointly issue regulations within 90 days of enactment to implement this prohibition.
  • Defines key terms:
    • Covered agencies: HUD, Federal Housing Finance Agency, Department of Veterans Affairs, Department of Agriculture.
    • Federal support: various forms of loan insurance/guarantees or loan activity by the listed agencies, plus securitization/purchase by GSEs (Fannie Mae/Freddie Mac).
    • Squatting: the practice of entering a property without permission and residing for 14 or more consecutive days without rent or a rental contract.

Who would be affected

  • Local governments and municipalities: particularly those that permit squatting or grant tenancy rights to squatters.
  • Recipients and applicants of CDBG funding: could lose eligibility if they permit squatting or do not correct such practices.
  • Homebuyers and property owners in affected jurisdictions: federal mortgage support could be unavailable for loans secured by properties located in prohibited jurisdictions.
  • Federal agencies involved in housing finance and mortgage programs: required to implement the regulatory framework.

Procedural and timeline aspects

  • The bill was introduced June 25, 2026 and referred to the Committee on Financial Services and the Committee on Veterans' Affairs.
  • Regulatory actions:
    • Federal agencies must jointly develop regulations to implement the mortgage support prohibition within 90 days after enactment.
  • Transparency requirement:
    • The Secretary must publish annual public lists of jurisdictions prohibited from funding and provide justification for each listing.
  • Definitions differ slightly between sections (e.g., squatting threshold is 10 days for CDBG provision vs. 14 days for federal mortgage provisions).

Potential impacts

  • Increased scrutiny of local housing practices in relation to squatters.
  • Reduction or loss of access to federal funding and mortgage support for jurisdictions that permit squatting, potentially incentivizing policy changes at the local level.
  • Greater enforceability of anti-squatting measures through federal funding conditions and mortgage eligibility.
  • Administrative burden on federal agencies to implement new regulations and maintain annual prohibited jurisdiction lists.

Note: The bill references specific statutory sections and definitions; should the legislation advance, further detail from the final text would clarify implementation mechanics, enforcement discretion, and any transition timelines.

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.