According to the Biden Administration, the shortage of housing throughout the country is one of the largest drivers of inflation. The administration’s Housing Supply Action Plan aims to close the housing supply gap in five years, which could translate to more affordable rents and more attainable homeownership for Americans. According to the administration, the plan will ease the burden of housing costs, while boosting the supply of housing with new housing production and preservation of existing homes, so they are affordable to low- and moderate-income households.
The plan outlines a series of steps federal agencies either are taking or will take in the next year, including:
Reward jurisdictions that have reformed zoning and land-use policies
Deploy new financing mechanisms to build and preserve more housing where financing gaps currently exist
Expand and improve existing forms of federal financing, including for affordable multifamily development and preservation
Ensure that more government-owned supply of homes and other housing goes to owners who will live in them
Work with the private sector to finish construction in 2022 on the most new homes in any year since 2006
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