Biden’s Budget Includes Several New Housing Proposals
President Biden today proposed a $7.3 trillion budget for fiscal year 2025, which runs from Oct. 1, 2024 through Sept. 30, 2025, that includes several tax hikes as well as many housing provisions designed to increase the housing supply and reduce housing costs.
Biden’s budget would raise taxes for billion-dollar companies from 15% to 21% and hike the broader corporate tax rate to 28%.
It is important to note that no White House budget is ever approved “as is” by Congress. The annual appropriations process determines the levels of federal spending for each of the federal departments and agencies, and all programs within their respective jurisdictions.
Although the president’s budget recommends spending levels for the next fiscal year, it is not legally binding. Congressional appropriators have the final say in program realignment and spending levels.
Meanwhile, six months into the fiscal 2024 budget year, Congress must still complete work on funding half of the government agencies before March 22 or the government will go into a partial shutdown.
On the housing front, Biden is seeking an investment of more than $258 billion to build or preserve more than 2 million housing units.
Specifically, the Biden budget would:
- Expand the Low-Income Housing Tax Credit.
- Provide a new tax credit for first-time home buyers of up to $10,000 over two years.
- Provide $7.5 billion in mandatory funding for new Project-based Rental Assistance contracts to incentivize the development of new climate-resilient affordable housing.
- Reduce down payments for first-time and first-generation home buyers.
- Provide a one-year tax credit of up to $10,000 to middle-class families who sell their starter home.
- Provide $20 billion in mandatory funding for a new innovation fund for housing expansion.
- Invest $1.3 billion in the HOME Investment Partnerships Program
NAHB will continue to monitor the appropriations process as funding decisions are made on key housing, tax, labor and environmental programs. We will also closely examine Biden’s housing proposals and urge Congress to advance those that are favorable to the housing community.
Latest from NAHBNow
Advocacy
May 22, 2026
Local Leaders and Builders Unite to Tackle Workforce Gaps in HousingNAHB’s state and local team earlier this year helped convene mayors, city leaders, planners and builders in Orlando as part of the America’s Housing Comeback discussion series to examine workforce development challenges.
Advocacy
May 21, 2026
NAHB Urges Congress to Advance Housing Supply ReformsTestifying today before the House Small Business Committee on how small builders can help close the nation’s housing gap, NAHB Chairman Bill Owens said the core issue is a shortage of housing.
Latest Economic News
Economics
May 21, 2026
Single-Family Starts Fall Amid Economic Uncertainty and Affordability PressuresSingle-family housing starts declined in April as builders faced continued economic uncertainty and affordability challenges, including higher construction costs, ongoing labor shortages and elevated financing expenses. The latest housing starts and permits data suggest that the overall construction pipeline remains uneven across regions and property types.
Economics
May 21, 2026
Housing Affordability Edges Up in First Quarter but Challenges PersistWhile housing affordability remains out of reach for millions of Americans, particularly first-time and entry-level buyers, conditions have improved modestly in the last year, according to the latest data from the National Association of Home Builders (NAHB)/Wells Fargo Cost of Housing Index (CHI).
Economics
May 20, 2026
What It Takes to Leave Parental HomeAs of 2024, one in five adults aged 25-34 lives with parents or in-laws. NAHB’s analysis of the latest American Community Survey (ACS) Public Use Microdata Sample (PUMS) evaluates a wide range of socioeconomic and demographic factors that shape young adults’ path to independence.