This past Friday, the House passed the final FY 2026 appropriations bills after several delays, approving Defense, Transportation-HUD, and Labor-HHS by a wide margin, while Homeland Security passed narrowly amid Democratic opposition over immigration enforcement funding. Overall, Congress rejected the Trump administration’s proposed deep spending cuts, particularly for HUD. Instead of the $43.5 billion requested, lawmakers appropriated $84.2 billion for HUD which is nearly double.
– Housing Choice Vouchers and Project-Based Rental Assistance saw significant increases.
– Homeless assistance funding rose.
– HOME and CDBG programs were preserved at current levels.
– Public housing operating funds were cut, while capital funding remained flat.
The executive order on housing omitted several anticipated proposals, including assumable and portable mortgages, and President Trump also distanced himself from a key administration idea allowing 401(k) withdrawals for home downpayments, citing concern about protecting retirement savings. Overall, after months of discussion on housing affordability, the administration’s actions have been limited to mortgage bond purchases by Fannie Mae and Freddie Mac and policies affecting the single-family rental market.
Separately, HUD Secretary Scott Turner testified before the House Financial Services Committee, with Democrats pressing issues such as fair housing, immigration, and staffing. Read Secretary Turner’s testimony here: HHRG-119-BA00-Wstate-TurnerS-20260121.pdf