The REPLACE Act updates federal programs to better address lead hazards in housing and drinking water systems. It expands grant requirements for lead paint removal to include evaluations of water pipes and plumbing, ensuring that both paint and water risks are managed together. The bill also broadens the definition of pipes needing replacement to include certain galvanized lines and mandates coordination between water and housing remediation efforts. Additionally, the legislation provides new technical support for workforce training, data management, and local implementation capacity to help communities complete these safety projects.
The Improving Housing Performance Act directs the Department of Housing and Urban Development to conduct an independent study on how well manufactured homes withstand natural hazards like floods, wildfires, and hurricanes. This study will evaluate current safety standards and installation practices specifically for homes located in high-risk areas to identify ways to improve their durability and safety. The bill requires the department to submit a report to Congress with findings and recommendations for updating these standards, while also analyzing how such changes might affect the cost and affordability of manufactured homes. Additionally, the legislation mandates a strategy to improve data collection regarding how these homes perform during extreme weather events.
This bill establishes a new independent council within the executive branch called the United States Interagency Council on Housing Affordability and Preservation to coordinate federal efforts on affordable housing. The council will be composed of heads from twenty-one different federal agencies, including HUD, the Department of Justice, and the Department of Labor, who will meet at least four times a year to develop a national strategic plan and review housing programs. Its main duties involve creating a unified strategy to increase affordable housing supply, providing technical assistance to states and local governments, and reporting annually to the President and Congress on housing needs and federal actions. The legislation also encourages states to form their own interagency councils and authorizes $4.8 million per year through 2031 to fund the council's operations.
The Housing Opportunities and Preservation Enhancement Act of 2026 provides specific tax incentives to encourage the rehabilitation and long-term preservation of low-income rental housing. It defines "qualified property" as buildings that have been in service for over 15 years, are owned by specific non-profit or government entities, and maintain restrictions ensuring at least 70% of units are occupied by low-income tenants. To qualify, these buildings must undergo significant rehabilitation spending within a 24-month period, a fact that must be certified by an independent accountant. The bill grants these properties exemptions from various tax rules, including passive activity limitations and profit motive requirements, while also allowing for accelerated depreciation over 15 years. Additionally, it clarifies how gains are calculated upon sale and ensures that certain capital grants used for construction do not reduce the property's tax basis.
This bill imposes new taxes on large investment firms, known as hedge funds, that own multiple single-family homes to discourage them from holding properties as long-term investments. Under the tax provisions, these firms would face a 50 percent charge on the value of any new homes they buy and an annual penalty of $50,000 for every home they hold beyond a specific limit that decreases over time. The legislation also creates a Housing Downpayment Trust Fund financed by these taxes to provide grants for down payments and closing costs to low-to-moderate-income buyers. Additionally, the bill disallows mortgage interest and depreciation tax deductions for owners subject to these new taxes and bars federal mortgage agencies like Fannie Mae and Freddie Mac from lending to or buying mortgages from these large investors.
The Freedom to Build Act creates a voluntary designation for local governments that adopt specific reforms to reduce barriers to housing construction. To qualify, a locality must either implement at least three reforms in each of three categories - such as allowing modern building methods, setting strict permit timelines, and eliminating rent control - or demonstrate sustained growth in its housing supply relative to local affordability. The Department of Housing and Urban Development will maintain a public list of these designated areas and review the required reforms every five years. Localities that lose their designation due to reversing reforms or failing supply targets receive a 180-day grace period to correct the issue before revocation. Additionally, the bill directs the Department to prioritize these designated communities when awarding competitive federal grants for housing and community development projects.
The Grad Student Affordable Housing Act of 2026 directs the Department of Housing and Urban Development to create a program offering rental assistance vouchers to graduate students. To qualify, students must be enrolled in graduate programs and meet specific income limits, which are set at $40,000 for dependents or independent individuals and $80,000 for families, with provisions for cost-of-living adjustments. Selected students receive vouchers that cover 80 percent of the fair market rental cost for their chosen housing. The bill requires students to apply through the Secretary of Housing and Urban Development within one year of the law's enactment.
This bill creates a five-year pilot program to provide grants to states and local governments for expanding Forensic Assertive Community Treatment teams. These specialized teams offer intensive, round-the-clock support including mental health care, addiction treatment, and housing assistance to individuals with serious mental illness who are involved with the criminal justice system. The program requires teams to include a mix of psychiatrists, employment specialists, criminal justice partners, and peer specialists with lived experience. Additionally, the legislation authorizes funding for a study by the National Academies to evaluate the program's effectiveness and develop guidelines for scaling it up.
The Making Condos Safer and Affordable Act of 2026 expands federal mortgage insurance options for condominium projects to help finance repairs and replacements of shared facilities like roofs, elevators, and common areas. It allows the governing body of a condominium to take out loans secured by future mandatory payments from individual unit owners, with the government potentially insuring up to 90 percent of the project cost. Additionally, the bill modifies existing rehabilitation loan programs to let individual condo owners use these funds to pay for special assessments related to building improvements or to build reserves for future maintenance. The legislation also streamlines regulations for managing these rehabilitation projects and adjusts loan limits to better reflect the costs of such repairs.
This bill creates a new tax credit for homeowners who pay interest on loans used to buy, build, or improve their primary residences. The credit allows taxpayers to directly reduce their federal income tax liability by up to $2,000 annually, or $1,000 for married individuals filing separately, provided their modified adjusted gross income does not exceed specific thresholds that vary by filing status. The amount of the credit is reduced by $20 for every $1,000 that a taxpayer's income exceeds these limits, and the provision includes an automatic inflation adjustment mechanism starting in 2028. This legislation applies to taxable years beginning after December 31, 2026, and excludes nonresident aliens from claiming the benefit.
