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U.S. Federal Government Plans To Enable More Entry-Level Housing

THE WALL STREET JOURNAL MAY 16TH 2022 5:58 AM EDT “Biden Administration Targets Housing Supply Shortage” “New regulatory moves aim to dent housing shortage of millions of U.S. homes.” by Andrew Ackerman and Nicole Friedman


Read THE WALL STREET JOURNAL for all the details.


Summary by 2244





As 2244 has presented, repeatedly, “new-home construction hasn’t kept up with demand in recent years.” Now the federal government will move to address “the U.S. shortage of entry-level homes, including expanding federally backed financing for affordable housing and directing grants toward localities that encourage construction.” According to Jim Parrott (Obama administration housing adviser), “The total effect should be considerable.”


What are the key components?


Changes in zoning to favor “density and rural main street revitalization.” Advocate easing zoning rules that regulate “minimum lot sizes, parking requirements and prohibitions on multifamily housing…”


“Test pilots to boost financing for tiny homes…”


“Fannie Mae will consider purchasing loans made to builders prior to construction of multifamily housing.”


Evaluate “boosting the availability of manufactured homes” which can be build at lower costs than homes built fully on-site.





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