In a bid to reduce housing costs, the Trump administration is offering incentives to builders who build affordable housing.
This will make it easier for developers to build affordable, low-income housing, according to an internal Trump administration document leaked to The American Journalist.
The document calls for the “building of new affordable housing projects, including low-rise housing units, in cities with a growing population, and with affordable housing requirements and conditions” to be eligible for federal funds.
The budget document also calls for an “end to the prohibition of low- and moderate-income homebuyers in certain metropolitan areas from obtaining mortgages in most of the metropolitan areas they have lived in since moving to the area.”
The proposal would require a “comprehensive review” of existing regulations to determine if existing regulations should be changed to apply to a specific metropolitan area.
Under current regulations, homebuyer protections are “excessive” and can make it harder for homebuy-to-rent buyers to afford housing.
According to a report by the Urban Institute, “in many states, housing restrictions, such as limits on the number of bedrooms or number of bathrooms, are based on an assumption of the number and size of households in the area.
When those assumptions are exceeded, housing prices can fall and families can become more stressed.”
The Trump administration has already taken steps to reduce the number or size of housing restrictions.
Earlier this month, the president signed an executive order directing the Federal Housing Administration to “exercise flexibility in implementing housing requirements for certain eligible low-cost mortgages” as part of the Housing Choice Voucher Program.
The order also states that the HUD will “continue to review existing and proposed regulations” to determine whether the regulations are “reasonably related to preventing or reducing homelessness and other forms of discrimination.”
However, the order also includes a provision that directs the Department of Housing and Urban Development to “continue working to further reduce housing discrimination.”
“We must continue to be vigilant and not lose sight of our responsibility to our nation’s cities, counties and communities to ensure that housing discrimination is not allowed to persist in their communities,” said HUD Secretary Tom Perez.
In a statement to The Associated Press, a spokesperson for the Department’s Bureau of Housing & Urban Development said the agency “is committed to ensuring that all eligible mortgages are affordable to all who qualify.”
“The federal government will continue to work to protect the most vulnerable people in our country from housing discrimination and will continue providing the necessary resources to ensure all eligible borrowers are able to access affordable, quality housing,” the statement said.