Washington Report

Advocacy Updates from Washington D.C.

Crowdfunding bills pass committee

On Thursday, June 16, the House Financial Services Committee marked up and approved H.R. 4854, the Supporting America's Innovators Act of 2016, and H.R. 4855, the Fix Crowdfunding Act, both sponsored by Rep. Patrick McHenry (R-NC).  If enacted, these bills would make changes to the regulations established by the JOBS Act of 2012, allowing for increased participation in and greater flow of capital through equity crowdfunding.  Specifically, H.R. 4854 would increase the number of qualifying venture capital funds that can participate to 250 persons, and H.R. 4855 would make changes to SEC exemptions.  

NAR supports laws and regulations that ensure an adequate flow of capital for real estate purposes.  As new regulations go into effect which may reduce liquidity and limit credit in smaller markets, crowdfunding may provide an alternative source of capital for commercial real estate development.  NAR sent a letter to the Committee thanking them for considering these bills during the markup, highlighting the need for new forms of investment in commercial real estate.

Read NAR's letter here.