After months of negotiation, congressional leaders announced an agreement on Tuesday for a comprehensive housing bill that aims to address affordability challenges ahead of the midterm elections. The bipartisan deal settles differences between the House and Senate versions of the legislation, advancing the largest housing reform package seen in years toward final approval.

The legislation includes provisions restricting institutional investors’ ability to purchase single-family homes, a key inclusion that helped secure support from the White House. However, it does not contain a previously proposed requirement that investors must divest built-to-rent properties within seven years, a clause that had generated controversy.

The compromise preserves several deregulatory banking measures championed by House lawmakers, reflecting their insistence on easing financial regulatory burdens as part of the package. Additionally, the bill sets a three-year expiration for a Department of Housing and Urban Development disaster recovery program, scaling back a more extended seven-year authorization favored by the Senate but opposed by House leaders.

While the House had removed some provisions, the Senate succeeded in reinstating wage-related requirements supported by labor unions. Senate negotiators also strengthened language aimed at limiting the impact of large investors on the housing market, reinforcing efforts to curb speculation and improve access for individual homebuyers.

Senate Majority Leader John Thune indicated optimism on Tuesday that the Senate would pass the bill within the week. He also expressed hope that the House would be able to approve the legislation soon thereafter, allowing it to reach President Donald Trump’s desk promptly.

The bill’s advancement comes as affordability and cost-of-living issues remain prominent concerns for voters, positioning the legislation as a political win for both parties and the administration ahead of the November elections.