AI-generated summary reviewed by our newsroom.<\/p>\n
Read our AI Policy.<\/a><\/p>\n The 21st Century ROAD to Housing Act<\/a> became law on July 11 \u2014 without the president\u2019s signature \u2014 capping months of negotiations between the House and Senate. (President Donald Trump didn\u2019t veto it, but he refused<\/a> to sign it.)<\/p>\n Read more Charlotte, Raleigh communities rally to support family of late swimmer Jack Roney<\/a><\/p>\n The new law aims to address the national affordable housing shortage, especially in fast-growing regions like the Triangle<\/a>.<\/p>\n Raleigh, Durham and Chapel Hill have all pushed<\/a> for more flexibility to build housing near transit and urban cores, but their efforts have been constrained by state-level rules. Experts say this package gives these metros new \u201cfederal tools\u201d to build and preserve housing \u2014 but the impact will be gradual, and local governments will determine how much the region benefits.<\/p>\n Here\u2019s what it does, and why it matters for the Triangle.<\/p>\n The 21st Century ROAD to Housing Act is a sweeping, bipartisan housing package that pulls together provisions from more than 60 bills.<\/p>\n It doesn\u2019t override local zoning. Instead, it aims to streamline permitting, modernize environmental reviews, and coordinate infrastructure planning, so housing projects don\u2019t get stuck in years-long delays, according to the Bipartisan Policy Center<\/a>.<\/p>\n Eric Maribojoc<\/a>, a UNC professor who focuses on affordable housing, warned against overestimating the impact.<\/p>\n \u201cThe ROAD Act provides new federal tools that can be used to accelerate reform and increase housing supply \u2014 but only if the local jurisdiction or state is willing to pass needed zoning and building-code reforms,\u201d he told The N&O in an email.<\/p>\n Zoning, building codes and other housing regulations, which affect the supply of housing, remain controlled by local jurisdictions and states. \u201cIt won\u2019t move the needle in jurisdictions that continue to strictly regulate the supply of less expensive housing,\u201d Maribojoc said.<\/p>\n The law touches several pressure points that Raleigh, Durham and Chapel Hill have struggled with for years \u2014 from slow permitting and environmental-review delays to the shortage of \u201csmall-dollar\u201d mortgages ($100,000 or less) in older neighborhoods.<\/p>\n It also targets the rise of institutional investors in Wake and Johnston counties, the need for more manufactured and modular housing options, and the \u201cmissing middle\u201d zoning reforms already underway in cities like Raleigh and Durham.<\/p>\n Institutional investor limits<\/b><\/p>\n The law bars large investors \u2014 those owning more than 350 single family homes \u2014 from acquiring additional houses, with an exception for build-to-rent projects. The provision is aimed at curbing the rapid expansion of corporate landlords in markets where first-time buyers already struggle to compete.<\/p>\n Triangle relevance<\/b>: Wake and Johnston counties have seen some of the fastest growth in investor purchases<\/a> in the state, particularly in entry-level neighborhoods. The new limits could ease pressure on buyers who have been routinely outbid by national firms, experts say.<\/p>\n Small-dollar mortgage pilots<\/b><\/p>\n The act allows the Federal Housing Authority (FHA) to test mortgages under $100,000<\/a>, a category long-underserved by traditional lenders. Many older homes \u2014 especially in legacy Black neighborhoods, rural counties, and parts of eastern North Carolina \u2014 fall below that threshold, leaving buyers with few financing options.<\/p>\n Read more What ACC commissioner Jim Phillips, NC State said about Brazil game cancellation<\/a><\/p>\n Triangle relevance<\/b>: In Durham\u2019s older neighborhoods and in lower-priced areas across the region, access to small-dollar mortgages could make it possible for residents to purchase homes that have historically been difficult to finance.<\/p>\n Manufactured housing modernization<\/b><\/p>\n The law removes the federal requirement that manufactured homes be built on a permanent chassis and raises FHA loan limits for these units. The changes are intended to modernize the sector and expand access to lower-cost housing.<\/p>\n Triangle relevance<\/b>: Manufactured housing remains one of the region\u2019s most important affordability tools, particularly in Chatham, Johnston and rural Wake. Modernizing the rules could make it easier to build and finance new units \u2014 and preserve an option that many households rely on as prices climb, experts say.<\/p>\n Jenn Truman<\/a>, an architect and founder of CITYBUILDER<\/a>, said the most important shift in the new law is its recognition that \u201chousing affordability begins with housing supply.\u201d She added that the act could have meaningful local impact because it ties federal incentives to cities that are already advancing zoning reforms.<\/p>\n \u201cBecause Raleigh and Durham have made significant progress on housing production and reforming outdated land-use policies, our area is well positioned to take advantage of these incentives,\u201d she said.<\/p>\n But she cautioned that the law\u2019s ultimate impact will depend on the Department of Housing and Urban Development\u2019s rulemaking in the coming months. Congress left many details to the agency, she said, and the outcome will hinge on whether HUD follows through on reforms that have proven effective \u2014 including reducing parking requirements, allowing more housing types, and streamlining permitting.<\/p>\n Eric Braun, a retired land-use attorney and founder of RaleighForward<\/a>, highlighted reforms to the HOME and Community Development Block Grant (CDBG) programs, which Raleigh already relies on to finance affordable housing and neighborhood investment. Allowing CDBG funds to support new construction, he said, could immediately strengthen the city\u2019s existing efforts.<\/p>\n He also pointed to the Whole Home Repairs pilot as a critical tool for aging housing stock. \u201cHelping lower-income homeowners repair aging homes can prevent displacement, preserve naturally occurring affordable housing and allow longtime residents to remain in their neighborhoods,\u201d he said.<\/p>\n On investor limits, John Wood<\/a>, owner of Re\/Max United in Cary, said he expects to see some \u201cworkarounds\u201d for the institutional buyer. But he hopes this will \u201copen the door to more properties available to a broader group of buyers.\u201d<\/p>\n \u201cMaybe this will slow those investors in the future,\u201d he said.<\/p>\n But even with dozens of new tools, experts stress that relief will be slow.<\/p>\n