Overview
- The bipartisan package passed both chambers of Congress last week and was sent to President Donald Trump, who has delayed signing and tied his action to other legislative priorities.
- Central supply measures include faster environmental reviews for smaller and infill projects, a push for preapproved housing designs, and a roughly $200 million annual competitive Innovation Fund to reward cities that loosen zoning and speed permitting.
- The bill creates a 15-year prohibition on additional single-family purchases by 'Large Institutional Investors' that control 350 or more homes, includes several carve-outs for build-to-rent and foreclosure-related transactions, and imposes large civil penalties for violations.
- Most provisions take effect only after federal agencies complete rulemaking and state and local governments adopt permitting and zoning changes, so increases in housing stock, lower rents and wider homeownership will be gradual and vary by place.
- The law also removes the permanent chassis requirement for manufactured homes and authorizes an FHA small-mortgage pilot, steps that industry says could cut per-unit costs and improve lending for lower-priced homes but that will take years to translate into widespread affordability.