President Biden announced a new Housing Supply Action Plan which seeks to ease the burden of housing costs over time, by boosting the supply of quality housing across the country. The plan includes legislative and administrative actions to help close America’s housing supply shortfall in 5 years, starting with the creation and preservation of hundreds of thousands of affordable housing units in the next three years.
The Administration’s plan contains several proposals to address affordable housing challenges, supply chain disruptions, rising material costs and labor shortages. The plan includes five key pillars:
- Providing incentives for land use and zoning reform and reducing regulatory barriers;
- Piloting new financing for housing production and preservation;
- Improving and expanding existing federal financing;
- Preserving the availability of affordable single-family homes for owner-occupants; and
- Addressing other constraints to supply: materials costs and labor supply.
