In a rare display of bipartisanship amid the nation’s housing affordability crisis, the U.S. House of Representatives on May 20, 2026, passed an amended version of the 21st Century ROAD to Housing Act (H.R. 6644) by a decisive 396–13 vote. The legislation now returns to the Senate for final approval, representing a negotiated compromise aimed at increasing housing supply, modernizing federal programs, and addressing institutional investor activity in the single-family market.

The bill merges key elements of the House-passed Housing for the 21st Century Act (February 2026) and the Senate’s ROAD to Housing Act (passed March 12, 2026). The compromise was brokered by House Financial Services Committee Chairman French Hill and Ranking Member Maxine Waters, in coordination with the White House. It also aligns closely with recent executive actions by Donald Trump directing federal agencies to reduce regulatory barriers and expand access to mortgage credit.

Key provisions focus on expanding housing production and reducing regulatory constraints:

• Streamlining regulations: Expands NEPA exclusions, delegates environmental reviews to states, and promotes pre-approved building designs to accelerate permitting timelines.
• Local incentives: Links Community Development Block Grant (CDBG) funding to housing production targets and establishes an Innovation Fund to support local zoning reform efforts.
• Affordable housing tools: Modernizes the Rental Assistance Demonstration (RAD) program, supports manufactured housing, and enables conversion of underutilized commercial properties into residential units.
• Financing reforms: Updates FHA loan limits and strengthens provisions supporting community banks and smaller lenders.

A central point of negotiation was Section 901, addressing institutional investor activity. The compromise places limits on large investors—generally those holding 350 or more single-family homes—restricting additional acquisitions while exempting new construction and operational rental developments. This approach aims to reduce competition with prospective homeowners while preserving incentives to build new supply.

Supporters have described the package as the most significant federal housing legislation in over a decade. Notably, the bill does not include new mandatory spending, instead emphasizing regulatory reform and market-based solutions.

The Senate is expected to take up the measure in the coming weeks. If approved, it would head to the President’s desk at a time when the U.S. housing market faces a supply shortage of several million units. As Chairman Hill stated, the legislation is designed to put “American families first.”