Pew Applauds Passage of Bipartisan Housing Legislation

WASHINGTON—The Pew Charitable Trusts today applauded Congress for passing bipartisan housing legislation designed to reduce barriers to homebuilding, expand access to financing, and improve housing affordability nationwide. The legislation, the 21st Century ROAD to Housing Act, represents the single most significant federal housing supply reform in decades.

Pew’s research shows that restrictive regulations, lengthy approval processes, and financing barriers have contributed to a nationwide housing shortage of 4 million to 7 million homes, driving up rents and home prices and putting homeownership out of reach for many households. The legislation includes a range of evidence-based reforms that would make it easier to build and finance housing and support efforts to increase supply.

Tara Roche, project director of Pew’s housing policy initiative, issued the following statement:

“America’s housing shortage has made it harder for families throughout the country to find homes they can afford. The passage of this bipartisan legislation is an important step toward addressing that challenge. By making it easier to build housing, expand access to financing, and support state and local efforts to remove unnecessary barriers to development, this package would help increase the supply of homes and improve affordability. Pew applauds lawmakers in both parties for advancing practical, evidence-based solutions to one of the country’s most pressing economic challenges.”

Among other provisions, the legislation would:

• Expand the use of manufactured housing by modernizing outdated federal requirements and increasing access to financing, helping more households achieve homeownership through one of the nation’s most affordable housing options.
• Lower barriers to the development of safe single-stair apartment buildings by directing the Department of Housing and Urban Development to establish guidelines for smaller multifamily buildings, making it easier to add housing in walkable neighborhoods and on smaller lots.
• Support the use of preapproved building plans, which Pew’s research has shown reduce permitting delays and lower the costs associated with single-family homes and small apartment buildings.
• Incentivize and offer support to state and local governments to modernize zoning, land-use, and permitting policies that unnecessarily increase housing costs and delay construction.
• Simplify permitting for housing that uses federal subsidies in already developed areas by removing mandates for federal environmental reviews for low-impact housing.
• Simplify federal inspection processes so it becomes easier for landlords to rent to tenants using Housing Choice Vouchers.
• Improve access to small mortgages, expanding financing options for lower-cost homes and helping more households become homeowners.

Together, these reforms would help address long-standing barriers to housing production and financing while supporting efforts to allow more housing opportunities nationwide.

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Founded in 1948, The Pew Charitable Trusts uses data to make a difference. Pew addresses the challenges of a changing world by illuminating issues, creating common ground, and advancing ambitious projects that lead to tangible progress.