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Congress·In Committee·4 months ago

House Committee Reviews HOME Reform Act to Boost Affordable Housing Flexibility

Also known as: HOME Reform Act of 2025

Legislative Progress

✓ Filed
Review
House
Senate
President

Impacts

Mixed Impacts(7)
Housing Assistance
Neutral
Renter
Neutral
Child Tax Credit
Neutral
Homeowner
Neutral
Small Business Owner
Neutral
Gig Worker
Neutral
Union Member
Neutral
Positive Impacts(1)
Military Active
Helps

Key Points

  • Expands who can qualify for HOME help by using a clearer income rule: up to the area’s median family income, adjusted for family size.
  • Gives states and local governments more freedom to choose how they use HOME funds (like rehab, new builds, buying property), unless a specific limit is spelled out in law.
  • Lets some smaller or rural places use HOME money for nearby infrastructure (water, sewer, roads, sidewalks, utility hookups) when it directly supports assisted housing.
  • Makes it easier to count homes as “affordable” when renters use housing vouchers, and raises some homeownership limits while encouraging long-term affordability tools like community land trusts.
  • Speeds up some projects by exempting certain small or infill housing activities from federal environmental review and by expanding exemptions from some labor and purchasing rules for smaller projects.
HousingInfrastructureLabor EmploymentEnvironment

Milestones

2 milestones2 actions
Oct 21, 2025House

Referred to the House Committee on Financial Services.

Oct 21, 2025

Introduced in House

What Happens Next

Projected impacts based on AI analysis

Months after the bill becomes law, once guidance is released

Local HOME programs update their written policies for who qualifies (up to 100% of area median income) and how projects will be selected.

More working families could become newly eligible, and waiting lists or competition for assistance could change in many communities.

After local program updates and housing agency guidance

Local programs begin treating voucher-occupied units as “affordable” for HOME when the rent meets voucher rules.

Voucher households may see more units open up in places where landlords want HOME-supported deals, but results will vary by local rent caps.

After local contracts and bid documents are updated

Small HOME-assisted projects (under 24 units) begin using the expanded exemption from certain labor requirements.

Some projects may cost less and move faster; some workers may see weaker pay or job standards on those smaller job sites.

Over the next 1–3 years as new projects are designed

Programs begin using new long-term affordability options (shared equity, community land trusts, limited equity co-ops) more widely.

Some buyers may get lower purchase prices but face resale rules that limit profit; in exchange, homes can stay affordable for future families.

After housing agency sets terms and locals adopt them

Military-owner waiver process becomes available in local HOME homeownership programs.

Service members who get deployment or permanent-move orders may have fewer headaches keeping a HOME-assisted home in good standing.

Related News

8 articles
NCSHA·3 months ago

Financial Services Committee Approves Affordable Housing Package; HOME Reform Act Included

House Financial Services Committee passed a housing package including the HOME Reform Act of 2025 (H.R. 5798), with details on how the HOME program is updated within the broader bill.

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NCSHA·2 months ago

NCSHA Washington Report | December 19, 2025

Policy roundup noting the Housing for the 21st Century Act package and highlighting inclusion of the HOME Reform Act of 2025 (H.R. 5798) among supported provisions.

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NAHRO·2 months ago

House Committee Advances Bipartisan Comprehensive Housing Package

Coverage of House Financial Services Committee passage of the Housing for the 21st Century Act, including reforms to existing programs such as HOME and broader streamlining themes.

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Source Information

Document Type

Congressional Bill

Official Title

HOME Reform Act of 2025

Bill NumberHR 5798
Congress119th Congress
ChamberHouse of Representatives
Latest ActionReferred to the House Committee on Financial Services.

Sponsor

Cosponsors

(1)
D: 1

Analysis generated by AI. While we strive for accuracy, this should not be considered legal or professional advice. Always verify information with official government sources.