Congress Advances Bipartisan Housing Reform Legislation

Lawmakers from both parties work to address high housing costs and shortages

Published on Feb. 20, 2026

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Republicans, Democrats, and the White House are collaborating on a comprehensive housing reform package aimed at increasing housing supply and stabilizing costs. The House and Senate bills include a range of provisions to spur more affordable home construction, streamline regulations, and provide incentives for builders and lenders. While some differences remain, there is broad bipartisan support for the legislation as lawmakers seek to deliver results for constituents ahead of the midterm elections.

Why it matters

The housing shortage and rising costs have become a major concern for many Americans, with estimates of the nationwide deficit ranging from 4.7 million to 7 million units. This bipartisan effort in Congress represents an attempt to address this pressing issue through policy changes that could increase the supply of affordable homes and make it easier for more families to purchase a home.

The details

The House and Senate bills share several key provisions, including updating HUD's construction standards for manufactured housing, providing funding for 'pattern books' to speed up the approval process, and allowing more flexibility in how Community Development Block Grant funds can be used for housing production. The legislation would also streamline the inspection process for landlords and provide incentives for them to accept tenants with rent vouchers. Additionally, the bills would make it easier for community banks to invest in affordable housing projects.

  • The House passed its version of the housing reform bill earlier this month with only 9 dissenting votes.
  • The Senate committee writing similar legislation approved it unanimously last year.

The players

Rep. Mike Flood

R-Neb., chairman of the Housing and Insurance Subcommittee.

Emma Waters

Senior policy analyst at the Bipartisan Policy Center.

Rep. Emanuel Cleaver

D-Mo., member of the House Financial Services Committee.

Rep. John Rose

R-Tenn., member of the housing subcommittee.

Rep. French Hill

R-Ark., chairman of the Financial Services Committee.

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What they’re saying

“There is no silver bullet for fixing this problem.”

— Rep. Mike Flood, R-Neb., chairman of the Housing and Insurance Subcommittee (Utah News Dispatch)

“Both bills really are pushing to make it easier to build more affordable homes.”

— Emma Waters, Senior policy analyst at the Bipartisan Policy Center (Utah News Dispatch)

“It ensures that every dollar we do spend goes further.”

— Rep. Emanuel Cleaver, D-Mo., member of the House Financial Services Committee (Utah News Dispatch)

“Municipalities across the country have restricted or outright banned homes built on permanent steel chassis. The result has been less construction, higher costs, and fewer opportunities for working families to own where they live.”

— Rep. John Rose, R-Tenn., member of the housing subcommittee (Utah News Dispatch)

“Our bill helps banks access stable deposit funding, streamlines the exam process that's tailored particularly for our vital community banks, and helps promote more community banks to do what they do best, lend locally and support their communities.”

— Rep. French Hill, R-Ark., chairman of the Financial Services Committee (Utah News Dispatch)

What’s next

While there are still some obstacles ahead before the housing reform legislation reaches President Donald Trump's desk, lawmakers from both parties are working to resolve their differences and deliver a final bill that can gain broad support.

The takeaway

This bipartisan effort in Congress to address the nationwide housing shortage and rising costs represents a rare example of lawmakers from both parties collaborating to tackle a major issue impacting their constituents. The legislation's prospects appear promising, as it enjoys support from key interest groups and reflects a shared desire among Republicans and Democrats to show progress on this pressing problem ahead of the midterm elections.