Trump didn’t sign it, but the 21st Century ROAD to Housing Act is now law

After months of deliberation, delays and drama, the 21st Century ROAD to Housing Act has finally crossed the finish line. 

The legislation, aimed at cutting red tape and making homeownership more attainable, is now the law of the land after President Donald Trump declined to sign or veto the bill before the deadline of midnight Eastern time Saturday.

In a Truth Social post on Friday morning, Trump said he withheld his signature “in protest” of the Senate‘s failure to pass the SAVE America Act, a separate bill targeting voter identification and registration. 

The move threw a last-minute twist into what was a drama-filled final few weeks. Trump abruptly canceled a planned signing ceremony for the bill on June 24, demanding Congress prioritize the SAVE America Act, and later dismissed the housing bill as a “big yawn” by comparison. 

The bipartisan package cleared the Senate 85-5 on June 22 and the House of Representatives 358-32 on June 23. House Speaker Mike Johnson (R-La.) sent it back to the White House on June 29. That started a 10-day clock, with Sundays excluded, for Trump to sign, veto or allow the legislation to become law without his signature — which is ultimately what happened.

The dynamic is rare but not unprecedented. In 2016, then-President Barack Obama declined to sign a 10-year renewal of the Iran Sanctions Act, enabling the legislation to become law without taking action. That bill was also overwhelmingly bipartisan, having passed the Senate in a unanimous 99-0 vote.

Recent polling from the American Property Owners Alliance indicates that the general public overwhelmingly backs the main objectives of the ROAD to Housing Act, with 89% of voters voicing their support.

First comprehensive housing package in decades

The final bill includes provisions from more than 60 different bills introduced in Congress, most of which were introduced with bipartisan sponsors. A few of the bills incorporated into the 21st Century ROAD to Housing Act include:

• The HOME Reform Act bolstered the HOME Investment Partnerships program by updating program eligibility, streamlining environmental reviews and expanding flexibility for infrastructure and community land trusts. 
• The Rural Housing Service Reform Act modernized U.S. Department of Agriculture (USDA) rural housing programs. Key provisions include the preservation of affordable rentals, the protection of rental assistance, and the strengthening of preservation tools to expand rental and homeownership opportunities in rural communities. 
• The Housing Supply Frameworks Act would direct the Department of Housing and Urban Development (HUD) to produce frameworks to help states and municipalities streamline zoning and regulatory barriers. 

For homebuilders, another key provision is the establishment of $200 million in grant funding, which will reward municipalities that successfully eliminate excessive red tape and burdensome zoning. The removal of the permanent chassis requirement for manufactured homes will also open up opportunities for manufactured homes to compete in densely populated, high-cost markets that have traditionally been reserved for site-built and modular homes. 

Notably, the final version of the bill also omitted prior provisions that build-to-rent (BTR) developers said would largely freeze new investments in BTR projects.

For lenders and mortgage professionals, key provisions include a Federal Housing Administration (FHA) loan pilot program for small-dollar mortgages below $100,000 and a requirement that the Consumer Financial Protection Bureau study how loan originator compensation rules impact the availability of small-dollar mortgages. 

The ROAD to Housing Act also authorizes a three-year Community Development Block Grant-Disaster Recovery Program and raises FHA multifamily statutory loan limits for the first time in more than 20 years. 

Collaborative advocacy effort

On June 10, more than 1,100 members of the National Association of Home Builders (NAHB) met with federal lawmakers to advocate for the passage of the 21st Century ROAD to Housing Act. And in May, more than 3,000 advocates responded to call-to-action alerts from the Mortgage Bankers Association during their MAA Action Week to advocate on behalf of the bill. 

These advocacy efforts didn’t take place in isolation. Thousands of housing industry professionals — including Realtors, homebuilders, mortgage and banking professionals, community developers, rental housing providers and more — spent months advocating on behalf of the most comprehensive federal housing bill in decades. 

While most housing leaders acknowledge that there is more work to be done, the industry’s reaction to the bill’s passing has been overwhelmingly positive. 

“This bill becoming law is a genuine milestone — and I don’t use that word lightly,” said Dennis Shea, executive vice president of the Bipartisan Policy Center (BPC). “Getting Congress to move on housing supply and affordability has been a long time coming, and the American people made clear they were ready for it.

“But this moment calls for urgency as much as celebration. The hard work of implementation starts now, and there are still many issues to be tackled. BPC will be watching closely, pushing for what’s next, and working hard to increase supply and lower housing costs.”

“The bipartisan 21st Century ROAD to Housing Act is a landmark step toward protecting the American Dream of homeownership,” said Colin Allen, executive director of the American Property Owners Alliance. “By expanding our housing supply and removing barriers to ownership, this legislation will help more Americans achieve their dream, strengthen communities, and build generational wealth.”

“Too many older Americans are struggling to find housing they can afford in the communities they call home,” said Nancy LeaMond, AARP‘s executive vice president and chief advocacy and engagement officer. “AARP has consistently pushed for increasing housing availability and affordability, and with the 21st Century Road to Housing Act now law, more older Americans will be able to age where they want to be — at home.”

Scott Olson, executive director for the Community Home Lenders of America (CHLA), praised the bill’s passage while urging further action.

“Enactment of the Road to Housing bill into law is a major bipartisan accomplishment and great news for American home buyers and renters stressed by housing affordability challenges,” Olson said. “CHLA urges Congress next to move on to action on tax changes to make it easier to access the trillions of dollars in stocks and IRAs to use for a down payment on a home.”