Trump executive orders target housing supply and mortgage credit

"Layers of unnecessary regulatory barriers, slow permitting processes, and onerous mandates at all levels of government have delayed construction, restricted development, and driven up the costs of new housing. These constraints have made housing less affordable for many Americans."

"The order calls for boosting housing affordability through the creation of regulatory best practices at the state and local levels. Within 60 days, HUD was directed to develop a series of practices related to streamlined permitting processes, scaled-back green energy construction requirements, and restrictions on manufactured or modular housing that aren't related to objective standards for building and safety."

"The second order, Promoting Access to Mortgage Credit, seeks to address the decline in mortgage lending by banks since the housing crisis of the 2000s. It points to increased compliance costs for originators and servicers that have distorted the structure of the mortgage market. Community banks, generally institutions with fewer than $30 billion in assets, have been especially affected."

Two executive orders address housing affordability and market accessibility. The first targets regulatory barriers in home construction by directing HUD and FHFA to eliminate or reform rules impeding residential development. It calls for streamlined permitting processes, reduced green energy construction requirements, and removal of unnecessary manufactured housing restrictions within 60 days. The second order addresses declining mortgage lending by banks since the 2008 housing crisis, focusing on excessive compliance costs that have particularly burdened community banks with fewer than $30 billion in assets. Both orders emphasize that regulatory layers and slow permitting have restricted housing supply and driven up costs, making homeownership less affordable for Americans.

Read at www.housingwire.com