Accelerating Home Building Act of 2025

(1) The United States faces an acute housing supply crisis. As of 2023, the United States faced an estimated housing shortage of 4,870,000 units.

(2) An increasing share of households are cost-burdened or severely cost-burdened. In 2023, 24 percent of all homeowner households and 50 percent of all renter households were cost-burdened.

(3) Complex and restrictive land use regulations, permitting processes, and related regulatory burdens hinder housing production and drive housing costs.

(4) Pre-reviewed designs, also known as pattern books, are sets of construction plans that are assessed and approved by localities for compliance with local building and zoning standards to streamline approval pathways for construction.

(5) For developers, faster and more predictable permitting through pre-reviewed designs increases access to housing development opportunities and makes new home construction possible.

(6) For communities, pre-reviewed designs ensure that future development includes positive design features while simplifying review of construction plans.

(7) Developing pre-reviewed designs strikes a balance between local architectural features and rapid home construction.

(a) In this Act:

The term affordable housing means housing for which the total monthly housing cost payment is not more than 30 percent of the monthly household income for a household earning not more than 80 percent of the area median income.

The term covered structure means—

(A) a low-rise or mid-rise structure with not more than 25 dwelling units; and

(B) includes—

(i) an accessory dwelling unit;

(ii) infill development;

(iii) a duplex;

(iv) a triplex;

(v) a fourplex;

(vi) a cottage court;

(vii) a courtyard building;

(viii) a townhouse;

(ix) a multiplex; and

(x) any other structure with not less than 2 dwelling units that the Secretary considers appropriate.

The term eligible entity means—

(A) a unit of general local government, as defined in section 102(a) of the Housing and Community Development Act of 1974 (42 U.S.C. 5302(a));

(B) a municipal membership organization; and

(C) an Indian tribe, as defined in section 102(a) of the Housing and Community Development Act of 1974 (42 U.S.C. 5302(a)).

The term high opportunity area has the meaning given the term in section 1282.1 of title 12, Code of Federal Regulations, or any successor regulation.

The term infill development means residential development on small parcels in previously established areas for replacement by new or refurbished housing that utilizes existing utilities and infrastructure.

The term mixed-income housing means a housing development that is comprised of housing units that promote differing levels of affordability in the community.

The term pre-reviewed design means a construction plan that is assessed and approved by a locality for compliance with local building and zoning standards to streamline approval pathways for construction.

The term rural area means any area other than a city or town that has a population of greater than 50,000 inhabitants.

The term Secretary means the Secretary of Housing and Urban Development.

The Secretary may award grants to eligible entities to establish designs of covered structures for use in the jurisdiction of the eligible entity that the eligible entity pre-reviews as mixed-income housing.

In reviewing applications submitted by eligible entities for a grant under this section, the Secretary shall consider—

(1) the need for affordable housing by the eligible entity;

(2) the presence of high opportunity areas in the jurisdiction of the eligible entity;

(3) coordination between the eligible entity and a regulating or non-regulating State agency;

(4) coordination between the eligible entity and State, local, and regional transportation planning authorities; and

(5) steps the eligible entity has taken to reduce barriers to housing development related to land use regulations, permitting, or related procedural issues.

Of the amount made available in each fiscal year for grants under this section, the Secretary shall ensure that not less than 10 percent shall be used for grants to eligible entities that are located in rural areas.

The Secretary shall require eligible entities receiving grants under this section to report on—

(1) the impacts of the activities carried out using the grant amounts in improving the production and supply of affordable housing;

(2) the pre-reviewed designs established using the grant amounts in their communities;

(3) the number of permits for pre-reviewed designs issued; and

(4) the number of housing units produced using the pre-reviewed designs.

The Secretary shall—

(1) to the extent possible, encourage localities to make publicly available through a website information on the pre-reviewed designs submitted by eligible entities receiving grants under this section, including information on the benefits of use of those designs; and

(2) collect, identify, and disseminate best practices regarding such designs to interested localities and parties.

The Secretary may require an eligible entity to return to the Secretary any grant funds received under this section if the pre-reviewed designs submitted under this section have not been approved during the 5-year period following receipt of the grant, unless that period is extended by the Secretary.

There is authorized to be appropriated to the Secretary to carry out this section $15,000,000 for each of fiscal years 2027 through 2031.

The Secretary may set aside not more than 10 percent of amounts appropriated under paragraph (1) in a fiscal year to provide technical assistance to grant recipients under this section and pre-grant technical assistance for prospective applicants.