The largest housing affordability bill in decades officially became law Tuesday after the constitutionally mandated 10-day period expired without President Donald Trump’s signature, marking a rare instance of major bipartisan legislation advancing over White House objections.
The bill, which cleared both chambers of Congress with broad bipartisan majorities, authorizes more than 5 billion in federal spending on affordable housing construction, rental assistance, and down-payment support for first-time homebuyers. It represents the most significant federal intervention in housing markets since the 2008 financial crisis.
Trump announced last week he would not sign the measure, calling it a “giveaway to developers” and demanding Congress instead prioritize the SAVE America Act, a voting rights and election security bill that has stalled in the Senate. Under the Constitution, legislation passed by Congress automatically becomes law after 10 days if the president declines to sign or veto it.
Senate Majority Leader John Thune, R-S.D., acknowledged the law’s enactment in a brief statement, noting that “Congress acted in a bipartisan fashion to address the housing crisis affecting millions of American families.” House Speaker Mike Johnson, R-La., who supported the bill, said it “delivers on our promise to make homeownership more accessible.”
The housing legislation includes 5 billion for the construction of 500,000 new affordable rental units over five years, expanded Section 8 rental vouchers for low-income households, and a new federal fund to help local governments reduce zoning barriers. It also provides up to 5,000 in down-payment assistance for first-time buyers earning below 120% of area median income.
Democratic leaders praised the bill’s enactment despite Trump’s refusal to sign it. Senate Minority Leader Chuck Schumer, D-N.Y., called it “a lifeline for working families priced out of their own communities.” House Minority Leader Hakeem Jeffries, D-N.Y., said the law shows “bipartisan progress is still possible in Washington.”
The National Association of Realtors and the National Low Income Housing Coalition both endorsed the legislation, calling it a necessary response to a housing affordability crisis that has pushed homeownership rates down among younger Americans. The national median home price has risen by more than 40% since 2020, while rents have increased by roughly 30% over the same period.
Under the bill’s provisions, states must submit plans to the Department of Housing and Urban Development detailing how they will use federal funds to increase housing supply. Local governments that relax zoning restrictions to allow higher-density development will receive bonus funding.
The law also includes oversight provisions requiring annual reports to Congress on housing affordability metrics and fund utilization. A Government Accountability Office review of program effectiveness is due within three years.
Critics of the bill, including some conservative groups, have argued it does too little to address the root causes of rising housing costs, including restrictive local zoning, rising construction costs, and labor shortages. The White House signaled Trump may seek to claw back funding through the appropriations process.
Author: Pulse Of Nations Wire Desk
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