Two prominent figures on the American left — Sen. Elizabeth Warren and Rep. Maxine Waters — are now in disagreement over an unexpected issue: how Congress should reshape national housing policy.

Warren and Waters, who serve as the top Democrats on the Senate Banking and House Financial Services committees, have long been aligned on economic priorities. However, as lawmakers move closer to advancing what could be the most significant housing reforms in decades, the two are backing competing approaches as the legislation heads toward President Donald Trump’s desk.

Warren played a key role in crafting a bipartisan Senate proposal that would significantly limit Wall Street’s involvement in the housing market. In contrast, Waters reached an agreement with House Republicans on a version that takes a more industry-friendly stance, aiming to refine the Senate plan rather than adopt it outright. Despite their differences, both proposals include measures intended to improve housing affordability, expand supply, and support homeownership.

A Democratic House Financial Services Committee member, speaking anonymously, described the dynamic as a clash between two influential and uncompromising leaders. “Neither has any inclination to defer to the other,” the lawmaker said, adding that colleagues should expect “a wild ride” as negotiations continue.

The House recently passed its version of the bill by a wide margin, even as Warren and Senate allies warned it may struggle to clear the Senate in its current form. In a joint statement following the vote, Warren and other senators said there was “still work to be done.”

The divide highlights ongoing tensions between the House and Senate over legislative strategy, particularly within financial policy. While such disagreements are common on Capitol Hill, the split between Warren and Waters stands out given their shared progressive reputations and long history of cooperation.

Both sides insist the dispute is not personal. Warren has praised Waters as a longtime ally, while Waters has also emphasized their friendship and mutual respect.

Much of the disagreement centers on how aggressively to restrict large institutional investors from purchasing single-family homes. Warren has aligned with Senate Republicans and the White House on stricter limits, while Waters has raised concerns from housing industry stakeholders that certain provisions could reduce housing supply or discourage investment.

House members, meanwhile, pushed back against what they viewed as Senate overreach, arguing they had limited input in shaping the original bill. As one Democratic lawmaker put it, “We need a cooperative product,” reflecting broader frustration over inter-chamber negotiations.

The White House has since shifted its support toward the House version after revisions were made, further complicating the path forward for a final compromise.