The bill, called the Appraisal Modernization Act, would require the FHFA to publish property valuations and other data in an online database so that home values are transparent. It would also give homeowners the right to appeal if they disagreed with their home's appraisal, known as a Reconsideration of Value.

In a statement, Warnock said that the rules were necessary to ensure homeowners have access to all the information they need when buying or selling their house.

"This bill is an important next step in helping Georgia families and all Americans realize the full value of their homes," Warnock said in a press release, "and it empowers them with more data and tools to fight bias that would lower their homes' values."

Supporters of the bill also highlighted the role that home ownership plays in helping families build generational wealth. They argue that unfairly low valuations disadvantage minorities, particularly Black and Latino families.

"Too many families of color suffer from systemic biases in the home appraisal process," said senator Cory Booker, D–N.J., one of the bill's cosponsors. "One of the largest drivers of wealth for Americans is their home, and the color of your skin should not be a determinant of your home's value."

The bill is a direct response to efforts by the Trump administration and Department of Housing and Urban Development to undo policies aimed at stemming racial discrimination. Last week, HUD axed the Property Appraisal and Valuation Equity – or PAVE – initiative, describing it as a "woke" program that "exemplified government overreach".

"By tearing down these onerous hurdles, we're freeing professionals from a tangle of red tape that drove up costs, inhibited access to homeownership, and discouraged market participation," HUD secretary Scott Turner said in a statement last week announcing the program's elimination.

The role of race in housing has been a contentious one for years. Proponents of programs like PAVE point to studies like one from the Brookings Institute in 2022 which found that homes in Black neighborhoods were valued about 21% lower than what they would be in non-Black areas. Other studies, like a recent survey from Lendingtree, find that Black mortgage applicants are denied mortgages at higher rates than other races.

However, opponents contend that the data is misleading. In a recent opinion piece in National Mortgage News, Tobias Peter and Edward Pinto questioned the methodology of past studies and argued that when other variables are controlled for, these racial valuation gaps disappear.

"The most effective way to address socioeconomic disparities is not through divisive, race-based mandates, but through inclusive policies that uplift all communities," they wrote.

The fight over PAVE is just the latest battle over diversity, equity and inclusion initiatives in housing. In February, the Trump Administration terminated a rule aimed at combating segregation and promoting fair housing. The Office of the Comptroller of the Currency also announced this week that it will no longer be performing examinations for disparate impact on protected classes.