A significant housing bill, officially named the 21st Century Road to Housing Act, is slated to automatically become law tonight at 11:59 p.m. ET, despite President Donald Trump’s public refusal to sign it. The legislation, which passed both houses of Congress with broad bipartisan support in June, was delivered to the president by House Speaker Mike Johnson on June 29, initiating a 10-day period for presidential action. With no signature or veto from the president, the bill will enact automatically.
President Trump has consistently dismissed the bill, calling it “a big yawn” and “of minor importance.” He first refused to sign it on June 24, shortly after its congressional passage, and reiterated his stance on Friday. In earlier Truth Social posts, Trump canceled a June White House signing ceremony, stating he would only sign the housing bill if Congress passed the SAVE America Act, a strict voter ID bill requiring proof of citizenship to register and photo ID to vote. The SAVE America Act has stalled in the Senate, lacking the 60 votes needed for passage. Trump told reporters in June, “To me, compared to the SAVE America Act, just about everything is a big yawn.” On Friday morning, he posted on Truth Social, “I will not sign the Housing Bill, which has been fully approved by Congress and sent to the White House, in PROTEST over the fact that the United States Senate is not capable of passing THE SAVE AMERICA ACT.” The White House referred NPR to the president’s post when asked for comment.
The housing bill aims to boost homeownership affordability primarily by encouraging homebuilding nationwide. Hailed by Democrats as the biggest housing bill in decades and by Republicans as a win for families, White House press secretary Karoline Leavitt described it on X as “one of the most significant pieces of housing legislation in American history.” It contains more than 40 provisions, contributed by both parties, addressing issues from corporate home ownership to manufactured home construction. This extensive bipartisan input explains its overwhelming support, driven by lawmakers’ recognition that home prices have surged beyond what many families can afford. Realtor.com data indicates that a household earning $75,000 annually can afford fewer than a quarter of available home listings. Housing affordability is a critical electoral issue, with both parties hoping to claim credit for addressing it ahead of the midterms.
Among its provisions, the bill includes measures to curb corporate home ownership, although House Republicans successfully quashed a part that would have mandated developers of build-to-rent homes to sell off those rentals after seven years. The overall impact of this cap on the housing market remains uncertain, as large investors nationally own only about 3% of the single-family rental market, though private equity holds a larger share in specific cities and neighborhoods. Researchers at Freddie Mac suggest private equity is a minor contributor to the housing shortage, often acquiring cheap homes needing significant repair. Staff from both the left-leaning Urban Institute and the right-leaning Taxpayers Protection Alliance argue that private equity can even alleviate the shortage by renovating properties that might otherwise fall out of the market.
Further provisions are designed to stimulate homebuilding. These include allowing developers to bypass environmental reviews if a new house is constructed between two buildings that have already undergone such reviews. Another initiative establishes a grant program for communities to create “pattern books”—collections of preapproved housing designs that would require fewer approvals before construction. Manufactured homes, typically more affordable than site-built homes, also receive a boost, as the bill removes the requirement for them to have a permanent chassis. Housing policy experts estimate this change could save $5,000 to $10,000 in construction costs per home and facilitate more complex designs, such as a second story.
While the bill does not introduce new federal housing funding, it is structured to incentivize home construction by directing a larger share of existing funds to communities that build more. However, decisions made in Washington often have less sway over housing markets than those originating from local governments or private developers. Local zoning regulations, which the federal bill does not alter, can significantly impede or prohibit construction. Homebuilders have also expressed pessimism about market conditions for the past three years, partly due to high material and labor costs. Additionally, Congress does not control mortgage rates, a crucial factor in housing affordability, which currently average around 6.5% for a 30-year fixed mortgage, considerably higher than during the pandemic years.
Sarah Brundage, president of the National Association of Affordable Housing Lenders, noted that even with new development projects, it will take years for additional homes to reach the market and for any affordability improvements to be felt. She explained that this long timeline often discourages congressional action on housing legislation, as a single development can take longer than an elected official’s term. Nevertheless, Brundage emphasized that housing affordability has reached a critical point where lawmakers can no longer remain inactive. With the median existing home costing $440,600 in June, she views the federal bill as a necessary first step, despite the ongoing need for local reforms. “We have to take the time to celebrate that we have bipartisan champions,” Brundage stated, adding, “Moving forward in 2028 and beyond, I don’t think anyone can run for public office without having a perspective of how housing needs to be prioritized.”
President Donald Trump points during a media conference at the NATO summit in Ankara, Turkey, Wednesday, July 8, 2026. Francisco Seco/AP hide caption
It's not clear yet how much of a change this cap will make on the housing market. Nationally, these large investors only own about 3% of the single-family rental market, although private equity owns a much larger slice of the real estate in some cities and neighborhoods.
