It's Official: Congress Passes the 21st Century ROAD to Housing Act
After months of back-and-forth between the chambers, Congress has passed the 21st Century ROAD to Housing Act and it's headed to President Trump's desk for signature. The House voted 358-32 yesterday, following the Senate's 85-5 vote Monday. It's the largest federal housing legislation in roughly three decades.
We've covered the arc of this bill in previous posts. Here's a quick recap of where things landed in the final version.
What Made It Into the Final Bill
The final text largely reflects the House's May amendment with several Senate priorities negotiated back in:
LIHTC/HOME/USDA RHS inspection relief — properties that have passed a program inspection within the past year will automatically satisfy HCV inspection requirements, removing a major friction point for voucher program participation
HOME Program reauthorized and reformed — expanded eligibility, more flexibility for housing-related infrastructure, and streamlined NEPA review for small-scale and infill projects
RAD cap raised by 100,000 units — a Senate priority that was dropped from the House version but restored in the final deal
CDBG-DR authorized for three years — provides stability for disaster recovery programs; advocates had sought permanent authorization
CDBG expanded — communities can now direct up to 20% of entitlement funds to new housing construction
Bank public welfare investment cap raised from 15% to 20% — unlocks additional private capital for LIHTC and community development investment
Moving to Work new cohort authorized
Institutional investor restrictions on single-family home purchases — with an explicit LIHTC exemption; the earlier forced-divestiture provision for build-to-rent properties was dropped
What Changed from the Senate's Earlier Version
The House successfully removed the seven-year forced-sale requirement for build-to-rent single-family homes, which industry groups had estimated could have removed 40,000–72,000 rental units annually from the market.
What to Watch Next
Implementation timelines vary by provision, with many taking effect October 1, 2026. Watch for HUD rulemaking and program guidance in the months ahead, that's where the operational details will be determined.
Florida CARH will continue tracking developments. Questions? Contact us.
Sources: Affordable Housing Finance | Bipartisan Policy Center | NPR | ABC News