HUD and USDA’s Six-Month Delay on Enforcing 2021 IECC Rule A Win for Housing
This post has been updated.
In a win for NAHB and the housing industry, the Trump administration has announced a six-month delay in the implementation of the Biden administration’s mandatory energy code, an important step forward to help ease the nation’s housing affordability crisis.
Specifically, the Department of Housing and Urban Development (HUD) and Department of Agriculture (USDA) will wait an additional six months before enforcing the compliance dates for adopting the 2021 International Energy Conservation Code (IECC) and ASHRAE 90.1-2019 as the minimum energy-efficiency standards for certain single-family and multifamily housing programs.
“This six-month pause by HUD and USDA is an important step forward to help ease the nation’s housing affordability crisis,” said NAHB Chairman Buddy Hughes. “Compliance with this rule would make it much harder for home builders and multifamily developers to build housing that is available and affordable for American families.
In fact, the Home Innovation Research Labs has found that compliance with the 2021 IECC can add more than $20,000 to the price of a new home, but in practice, home builders have estimated increased costs of up to $31,000.
The updated compliance dates are as follows:
| Program | Initiation Event | Compliance Date |
| HOME and HTF (If HOME/HTF funding is layered with other HUD funds, the later program compliance date applies) |
Participating Jurisdiction (PJ) or HTF Grantee Funding Commitment | Nov. 28, 2024 |
| Federal Housing Administration-Insured (FHA-Insured) Multifamily | Pre-application Submitted to HUD | Nov. 28, 2025 |
| FHA-Insured Single Family | Building Permit Application | May 28, 2026 |
| Public Housing Capital Fund | HUD approvals of development proposals for new Capital Fund or mixed financed projects | Nov. 28, 2025 |
| Project Based Vouchers | To be determined in further guidance | April 1, 2026 |
| Competitive Grants (Choice Neighborhoods, Section 202, Section 811) | Notice of Funding Opportunity (NOFO) Publication | Next published NOFO after six months from the date of publication of this notice |
| All programs, persistent poverty rural areas | Based on program-specific event, above | May 28, 2026 |
| Rental Assistance Demonstration (RAD) | N/A | Already effective by Federal Register Notice July 27, 2023 |
NAHB commends the Trump administration for recognizing the importance of bringing down the cost of housing and will continue to pursue all avenues on the congressional, regulatory and legal fronts to overturn this harmful energy code rule.
Latest from NAHBNow
Dec 10, 2025
NAHB Awards HBAs $60K to Support Advocacy EffortsThe NAHB State and Local Government Affairs Committee recently awarded several HBAs financial assistance through the State and Local Issues Fund.
Dec 09, 2025
Construction Labor Market StableThe count of open, unfilled positions in the construction industry was relatively unchanged in October, per the Bureau of Labor Statistics Job Openings and Labor Turnover Survey (JOLTS). The current level of open jobs is down measurably from two years ago due to declines in construction activity, particularly in housing.
Latest Economic News
Dec 09, 2025
Mortgage Activity Continued to Climb in NovemberMortgage activity continued to climb in November, posting the largest year-over-year increase in more than five years. Every major category increased on a year-over-year basis as mortgage rates continue to trend lower, led by strong increases in refinancing and adjustable-rate mortgage activity.
Dec 08, 2025
Community Associations: A Growing Trend in 2024In 2024, 65.7% of all new single-family homes started were built within a community or homeowner’s association. This share increased from the 64.8% recorded in 2023, according to data tabulated from the Census Bureau’s Survey of Construction (SOC).
Dec 05, 2025
Mortgage Rates Continue to Trend Lower in NovemberThe average mortgage rate in November continued to trend lower to its lowest level in over a year. According to Freddie Mac, the 30-year fixed-rate mortgage averaged 6.24% in November, 2 basis points (bps) lower than in October. Meanwhile, the 15-year rate increased 3 bps to 5.51%.