Reps. Mike Flood (R‑Neb.) and Emanuel Cleaver (D‑Mo.) introduced bipartisan legislation to modernize the federal HOME Investments Partnerships Program. The bill would shift some funding toward single‑family homes, allow HOME grants to pay for local infrastructure (reducing lot and home prices), and raise the income eligibility threshold from 80% to 100% of the county median. Supporters say the changes would expand affordable homeownership opportunities as first‑time buyers grow older and fewer enter the market.
Bipartisan Plan Seeks to Make Homeownership Affordable Again for Millions of First‑Time Buyers
Reps. Mike Flood (R‑Neb.) and Emanuel Cleaver (D‑Mo.) introduced bipartisan legislation to modernize the federal HOME Investments Partnerships Program. The bill would shift some funding toward single‑family homes, allow HOME grants to pay for local infrastructure (reducing lot and home prices), and raise the income eligibility threshold from 80% to 100% of the county median. Supporters say the changes would expand affordable homeownership opportunities as first‑time buyers grow older and fewer enter the market.
11:17 PM, 11/19/2025Economy
Two House members from opposite parties are advancing legislation to make homeownership more attainable for middle- and lower-income Americans by reforming the federal HOME Investments Partnerships Program. Rep. Mike Flood (R‑Neb.) and Rep. Emanuel Cleaver (D‑Mo.) say the updates would spur single‑family home construction, subsidize local infrastructure to reduce lot costs, and expand eligibility so more communities can participate.
Proposed changes and how they would work
The HOME program, which provides grants to state and local governments for affordable housing, has seen few major updates since the early 1990s. The bill would refocus some funding toward single‑family homes and allow local governments to use grant dollars to cover predevelopment infrastructure — such as stormwater systems, sewers and paved streets — instead of shifting those costs to developers and buyers.
Flood illustrates the effect with an example: predevelopment requirements can add roughly $25,000 to a lot before a single shovel hits the ground. If a city received, say, $2.5 million in HOME funds to extend sewer and stormwater lines and pave streets, that public investment could reduce lot costs substantially, potentially lowering final home prices by several thousand dollars.
Another key change would raise the income-eligibility threshold used to qualify for HOME funds from 80% of the county median income to 100%. Flood and Cleaver say that adjustment would help communities with average incomes — and desirable amenities — participate in affordable housing projects rather than being excluded under the current standard.
Support, context and next steps
Rep. Cleaver said the HOME program is "one of our greatest tools to expand the supply of affordable housing for working‑class families," and that modernizing it could help restore access to affordable homeownership across the country. Flood credited recent national attention on housing affordability with accelerating momentum for legislative action.
Housing affordability has become a growing concern: the National Association of Realtors reports the median age of first‑time buyers is now a record 40 years, and first‑time buyers accounted for just 21% of home sales this year — the lowest share since 1981. Supporters of the bill argue that targeted public investments and broader eligibility could lower barriers for first‑time buyers and encourage more new‑home construction in communities nationwide.
The proposal is bipartisan and intended to be an incentive‑driven approach that leverages federal grants for local infrastructure and development priorities. Lawmakers will need to move the bill through committee and secure funding and local partnerships before its changes take effect.