Washington's Plan for Housing and What It Means for The Sector
By: Jaret Seiberg, Max Rakhlenko, Gregory Williams, Sean Steuart
avr. 14, 2025 - 2 minutes
Overview:
- The undersupply of housing could create political pressure for government action to boost the supply, especially for entry-level housing.
- Voters identify housing as a priority, so both parties will want to deliver before the 2026 and 2028 elections.
- Ideas under consideration vary from tax incentives to zoning changes to construction financing reforms to macro considerations to demand incentives.
- Our equity analysts assess what more government support for housing means for public companies.
The TD Cowen Insight
We believe the undersupply of entry-level housing construction since the financial crisis is creating political pressure on Washington to take steps that would encourage more building. Options include tax incentives, reform to zoning, and lending which will impact companies tied to housing as well as those that serve homebuyers and existing owners.
Major Benefits Expected for Political Parties, Housing Companies and Homebuyers
We believe voters expect Washington to provide relief from rising home prices, which is creating a unique opportunity for the government to advance policies that will boost housing supply. Both parties will worry about the consequences in the 2026 and 2028 elections if they fail to deliver.
Public Companies to be Impacted by Focus on Home Construction
We use our extensive policy network in Washington to develop an exhaustive list of policy options that Team Trump and Congress are likely to consider as they seek to boost the supply of entry-level housing. We then combine this with analysis from equity analysts who opine on what an increased focus on home construction could mean for public companies. These include:
- Tax Incentives
- Zoning Changes
- Construction Financing
- Macro Considerations
- Demand Incentives
What To Watch
Potential vehicles for housing measures include:
- The tax package,
- The FY 2026 spending package,
- The National Defense Authorization Act, and
- Another must-pass bill.
Subscribing clients can read the full report, Washington's Plan for Housing & What It Means For the Sector-Ahead of the Curve, on the TD One Portal
Directeur général, Groupe de recherche de Washington – analyste, Services financiers et Politiques, TD Cowen
Directeur général, Groupe de recherche de Washington – analyste, Services financiers et Politiques, TD Cowen
Directeur et analyse de recherche, Biens de consommation, Vente au détail et Conditionnement physique, TD Cowen
Directeur et analyse de recherche, Biens de consommation, Vente au détail et Conditionnement physique, TD Cowen
Directeur, Recherche sur les actions, TD Cowen
Directeur, Recherche sur les actions, TD Cowen
