Committee advances Conklin bill to improve housing affordability, availability
Would discourage ‘house flipping’ by allowing lenders to set prepayment penalties on investment properties
Rep. Scott Conklin April 27, 2026 | 3:31 PM
HARRISBURG, April 27 – The state House Commerce Committee today advanced legislation introduced by state Rep. Scott Conklin that would help address rising home prices and shrinking inventory in Pennsylvania’s housing market by discouraging “house flipping” by investors.
Conklin, who is Majority chair of the committee, said he introduced H.B. 2391 to deter a practice that is inflating values in Pennsylvania’s housing market and making it difficult for regular consumers to compete.
“House flipping—when investors buy houses to fix them up and sell them for a quick profit—is driving up home prices and reducing inventory, making it increasingly difficult for buyers and renters to find affordable properties,” Conklin said. “An important way we can discourage this is by allowing mortgage lenders to offer investors the option of better terms if they accept prepayment penalties. Doing so would deter house flipping and encourage long-term investments, which in turn would help stabilize prices and increase available housing for both buyers and renters.
“Unfortunately, Pennsylvania is one of a minority of states that does not allow mortgage lenders to offer competitive mortgage terms through prepayment penalties on investment property. My bill would change that by allowing lenders to offer investors the option of choosing financing terms with or without a prepayment penalty.”
Conklin emphasized that the legislation would protect mortgages for primary residences and second homes and not allow lenders to include prepayment penalties for personal, family, or household purposes.
The bill now heads to the full House for consideration.