The 21st Century ROAD to Housing Act represents one of the most ambitious federal interventions in U.S. housing policy in decades. Passed by Congress and championed by the Senate Banking Committee as a "major housing affordability win," the legislation targets the structural supply shortage that has driven U.S. home prices to record levels. However, as of June 24, 2026, President Trump cancelled the scheduled signing ceremony — leaving the bill's enactment status unresolved and creating significant uncertainty for developers, investors, and municipalities planning around its provisions.

This note summarizes the legislation's key provisions and their practical implications for Turkish companies and investors active in the U.S. real estate market.

The U.S. housing market has been in a prolonged affordability crisis. National home prices have risen more than 50% since 2020, driven by a structural undersupply estimated at 3.5 to 4 million units. The 21st Century ROAD to Housing Act — ROAD standing for Removing Obstacles and Accelerating Development — was designed to address this shortage through a combination of federal incentives, zoning preemption, and new financing mechanisms.

The Senate Banking Committee's endorsement reflected bipartisan recognition that local zoning restrictions, permitting delays, and financing gaps have collectively suppressed housing construction far below demand levels.

Federal Zoning Incentive Program: The Act creates a competitive grant program rewarding municipalities that adopt zoning reforms — including by-right approval for multifamily housing near transit corridors, elimination of minimum parking requirements, and streamlined permitting for accessory dwelling units (ADUs). Municipalities that refuse to reform restrictive zoning would face reductions in certain federal community development grants.

Land-Use Preemption for Federally Assisted Projects: For housing developments receiving federal financing (FHA-insured loans, Low-Income Housing Tax Credits, or HOME Investment Partnerships funds), the Act would preempt certain local zoning restrictions that prevent by-right construction of multifamily housing on commercially zoned land.

Affordable Housing Finance Reforms: The legislation expands the Low-Income Housing Tax Credit (LIHTC) program — the primary federal subsidy for affordable housing construction — by approximately 30% over five years. It also creates a new "middle-income" housing tax credit targeting households earning 80%–120% of area median income, a segment currently underserved by both market-rate and subsidized housing.

Single-Family Rental Regulation: In a provision that attracted significant controversy, the Act imposes new disclosure requirements on institutional investors owning more than 50 single-family homes in a single metropolitan statistical area (MSA). These investors would be required to report acquisition activity to the Department of Housing and Urban Development (HUD) and comply with new tenant notification requirements.

Manufactured Housing Modernization: The Act updates federal standards for manufactured housing (formerly called mobile homes) and creates new financing pathways through Fannie Mae and Freddie Mac for manufactured homes on leased land — a segment that has historically been excluded from conventional mortgage financing.

The cancellation of the signing ceremony on June 24, 2026 introduces material uncertainty. Several scenarios are possible:

• The President may sign the bill at a later date without a formal ceremony
• The White House may request amendments before signing, requiring the bill to return to Congress
• The President may veto the bill, which would require a two-thirds majority in both chambers to override
• The bill may remain in legislative limbo, with its provisions neither enacted nor formally rejected

Until the bill is signed into law and published in the Federal Register, none of its provisions are legally effective. Municipalities, developers, and investors should not rely on the Act's zoning preemption or financing provisions until enactment is confirmed.

Multifamily Development: If enacted, the zoning incentive program would meaningfully reduce entitlement risk for multifamily projects in participating municipalities. Turkish developers and investors evaluating ground-up multifamily projects in U.S. cities should monitor which municipalities apply for and receive ROAD Act grants — these jurisdictions will offer faster permitting timelines and reduced regulatory uncertainty.

Affordable Housing Investment: The LIHTC expansion creates additional investment opportunities in tax credit equity. Turkish family offices and institutional investors seeking stable, tax-advantaged U.S. real estate returns should evaluate LIHTC fund investments, which offer federal tax credits over a 10-year period in exchange for equity investment in affordable housing projects.

Single-Family Rental Portfolios: Turkish investors building single-family rental (SFR) portfolios in U.S. markets should be aware of the institutional investor disclosure requirements. While the 50-home threshold exempts most individual investors, Turkish companies aggregating SFR assets through U.S. holding structures should assess whether consolidated ownership across affiliated entities could trigger reporting obligations.

Zoning Reform Monitoring: The Act's zoning preemption provisions — if enacted — would represent a significant shift in the balance of power between federal and local governments over land use. Turkish developers should track litigation challenging these provisions, as constitutional challenges under the Tenth Amendment are likely.

The next 30–60 days will be decisive. ULF New York is monitoring the legislative status of the 21st Century ROAD to Housing Act and will update this analysis as developments warrant. Turkish investors with active U.S. real estate transactions or development projects should consult with U.S. counsel before making structuring decisions that depend on the Act's provisions.