Real Estate
Home›Real Estate›Industry›21st Century ROAD to Housing Act clears Congress, targ…
21st Century ROAD to Housing Act clears Congress, targets supply gap
The law was approved by the Senate 85 to 5 and the House 358 to 32 and includes more than 40 incentives and regulatory updates intended to spur new affordable and single-family housing.
The 21st Century ROAD to Housing Act has been signed into law, after Congress passed it with sweeping bipartisan support, with the Senate voting 85 to 5 and the House voting 358 to 32, according to Commercial Observer. The bill is designed to address a sustained U.S. housing shortage, with J.P. Morgan Chase estimating a 2.8 million unit gap and suggesting it could take around 10 years to resolve, while the U.S. Chamber of Commerce believes the shortfall is 4.7 million homes. A Harvard University study cited in the article found national home prices rose 54 percent since 2020, and the average single-family sales price is nearly five times median household income.
Commercial Observer reports that the act uses more than 40 economic incentives, regulatory reforms, and updates to existing federal laws to encourage construction of new affordable housing, single-family homes, and manufactured housing. It also aims to reduce red tape that has slowed development over decades, framing the approach as a collection of policy changes rather than a single fix.
The article quotes Dennis Shea, executive vice president for housing at the Bipartisan Policy Center, saying both parties heard from constituents that affordability is affecting communities nationwide, and that solving it requires the private sector. It also cites David Garcia of the Terner Center for Housing Innovation, describing the legislation as many smaller changes that could add up to increasing supply and lowering costs over time.