How the ‘Homes Are for People, Not Corporations’ Language is Changing
by Editorial Staff
On May 20, 2026, the U.S. House of Representatives passed the 21st Century ROAD (Renewing Opportunity in the American Dream) to Housing Act by a vote of 396-13, thereby clearing the bill to return to the Senate.
Notably, the House version of the bill is much softer on large, institutional real estate investors than the Senate version, which banned investors and companies from buying single-family properties if they already own 350 or more and required build-to-rent developers to sell homes in their portfolios within seven years of purchase. These restrictions were largely implemented in response to a January executive order issued by President Trump limiting private equity firms’ ability to purchase single-family homes. At that time, the president said he would not sign housing legislation that did not address this issue.
Much of the discussion around the bill has centered on Title 10, Section 1001, which has been titled, “Homes Are for People, Not Corporations.”
While the measures in the Senate bill appeared, on the surface, to encourage homeownership and free up rental inventory for retail purchase and owner-occupancy, many critics warned these restrictions would likely slow construction rates on new rentals.
While home ownership is generally considered preferable to renting, there is an acknowledged national shortage of rental options for low-income earners in particular. According to the National Low Income Housing Coalition, there are more than 7 million new rental units needed in this income bracket alone.
In response to concerns about housing inventory, the House removed the requirement that developers sell build-to-rent and renovate-to-rent properties and, instead, created a hotline for residents of properties owned by large institutional investors. Supporters of the change noted that the sales deadlines in the Senate bill could ultimately hurt residents of single-family rental (SFR) homes because if they could not buy the property within the mandated window, they would be uprooted when the deadline arrived.
“It will be vital that the final language [in the bill] safeguards millions of BTR homes and the individuals and families that are building their lives in them,” wrote the National Association of Home Builders (NAHB) and the Mortgage Bankers Association (MBA) in a joint statement in the wake of the House bill’s passage.
The House hopes the Senate will find the changes acceptable and pass the bill on to the president for signing. Although the latest version does not require institutional investors to sell within a specific window, it does incentivize these investors to increase availability of rental and owner-occupied housing by offering them exemptions to restrictions elsewhere in the bill if they meet certain requirements.
Other key components of the House version of the bill include:
» Streamlining protocols for environmental reviews, local housing-planning grants, and office-to-residential conversions
» Removal of the rule requiring all manufactured homes be built on a permanent chassis, which makes them more expensive to build and limits where they can be located
» Changes to how manufactured homes are classified In the past, manufactured homes have been treated like personal property, thereby making it difficult to finance them using a traditional mortgage loan. The ROAD to Housing Act, if passed and signed by the president, could change that.
» Establishment of a pilot program to expand access to FHA-backed mortgages under $100,000
» Increased housing development access in Opportunity Zones HUD will be permitted to prioritize projects based in or primarily servicing communities designated as Opportunity Zones for competitive grants related to housing development and preservation.
» Creates a HUD pilot program to provide grants and forgivable loans to homeowners and landlords for home repairs and modifications
» Creates a competitive HUD grant program to help implement planning and community development activities, including coordinating housing development with transportation planning
» Creates a $200 million annual competitive grant program for local governments and tribes that demonstrate measurable increases in housing supply
» Reforms appraisal licensing and training as well as authorizing grants to support appraisal workforce development
» Establishes a variety of protocols and programs designed to make it easier for developers to build single-family residential homes as well as timelines for oversight and accountability
Where the ROAD to Housing Act Goes From Here
Now that the House of Representatives has passed their amended version of the bill, the Senate may either accept the changes from the house or request a formal conference committee to reconcile the two versions of the bill.
Banking Committee Chairman Tim Scott (R-SC) and Ranking Member Elizabeth Warren (D-MA) wrote in a joint statement, “There is still work to be done, and we are committed to continuing to work with the White House and our colleagues in the House on a housing bill that can pass the Senate and get to the president’s desk.”
