De La Cruz Pushes to Expand Housing in Texas Communities

WASHINGTON - Congresswoman Monica De La Cruz (TX-15) introduced the Freedom to Build Act to lower housing costs and eliminate the "bureaucrat tax", the hidden cost per new build caused by regulatory delays and red tape.

The Freedom to Build Act directs the Secretary of Housing and Urban Development (HUD) to establish a voluntary "Freedom to Build" designation for localities nationwide. This initiative recognizes and rewards communities that make regulatory reforms. Certified localities will receive priority consideration for existing HUD housing grants.

"Government overregulation has created a hidden tax on new home builds, putting the American dream of homeownership out of reach for too many Texas families. My Freedom to Build Act changes that. By rewarding communities that make key reforms, we can lower costs for Texas families and ensure they can afford a place to call home." - Congresswoman Monica De La Cruz

The Freedom to Build Act is supported by the National Association of Home Builders, Mortgage Bankers Association, and National Association of Realtors.

"Housing affordability begins with housing supply, and communities need the tools and incentives to build more homes. Congresswoman De La Cruz's Freedom to Build Act recognizes that outdated regulations, lengthy approval processes, and unnecessary barriers can make it harder to deliver the housing Americans need. By encouraging local governments to modernize permitting and reduce obstacles to responsible development, this legislation helps create an environment where more homes can be built, costs can come down, and more families have the opportunity to achieve homeownership. The National Association of REALTORS® commends Congresswoman De La Cruz for her leadership on policies that address our nation's housing shortage and expand access to affordable housing." - Shannon McGahn, Chief Advocacy Officer and Executive Vice President of the National Association of REALTORS

Background:

According to the National Association of Home Builders (NAHB), the "bureaucrat tax" accounts for 24% of the cost of a new single-family home and 41% of the cost for multifamily housing.

To address this extra cost, the Freedom to Build Act establishes a voluntary Freedom to Build designation, which is obtained by adopting key reform requirements, including removing regulations on construction materials, speeding up the approval process, and rolling back government mandates on what can be built, who can build it, and how it is built. Additionally, communities may receive the Freedom to Build designation by demonstrating strong results in housing supply growth and access to affordable housing.