If Scott Turner is confirmed as the new Secretary of the Department of Housing and Urban Development (HUD), he will inherit leadership over the nation’s largest housing agency during a time of escalating concerns over home affordability. Housing affordability remains a critical issue as rental and homeownership costs surge, and Turner, should he take office, faces the daunting challenge of addressing these needs.
Turner, who worked closely with former HUD Secretary Ben Carson during the Trump administration’s first term, is stepping into a role where he could play a pivotal role in shaping policies aimed at making housing more affordable. The Trump administration’s ongoing push for government spending cuts could lead to significant budget reductions for HUD, which could put crucial programs such as rental assistance, mortgage insurance, and fair housing law enforcement at risk.
Bob Greenstein, a visiting fellow at the Brookings Institution, expressed concern that if cuts are made to HUD’s budget, they could exacerbate the nation’s affordable housing crisis. “The shortage of affordable housing, rent increases, and the resulting impact on low-income households could worsen under budgetary constraints,” he warned.
Despite these concerns, major housing industry groups have expressed optimism about Turner’s potential leadership. Carl Harris, Chairman of the National Association of Home Builders, emphasized the importance of working with Turner to reduce regulations and improve access to affordable housing. The Mortgage Bankers Association also voiced its support, highlighting the importance of addressing housing supply and affordability challenges in the wake of the current crisis.
Under the Trump administration’s first term, HUD faced proposed budget cuts that never passed Congress. However, with the current political landscape still prioritizing government spending cuts, experts anticipate that Turner will face renewed pressure to reduce HUD’s budget in a second term. If this happens, the housing choice vouchers (Section 8) program, which makes up a significant portion of HUD’s budget, could be targeted for cuts, potentially leading to longer waiting lists for low-income families seeking affordable housing.
On a positive note, Liz Osborn, Vice President of Policy at Enterprise Community Partners, a nonprofit focused on home affordability, pointed out that while Trump’s budget proposals included cuts, funding for HUD’s programs increased during his first term. This may offer hope for continued support for vital housing initiatives.
Before his nomination for HUD, Turner led the White House Opportunity and Revitalization Council, a body aimed at encouraging private investment into distressed communities through the Opportunity Zones program. While the program directed significant private investment into underserved areas, some have questioned its effectiveness. A 2020 study by the Urban Institute suggested that while the program had some positive outcomes, it didn’t fully meet its economic and community development goals, with many areas still struggling to benefit from it.
If confirmed, Turner may again play a significant role in the Opportunity Zones initiative, especially if it is renewed as part of Trump’s second-term agenda. However, the program’s mixed results could present Turner with additional challenges as he seeks to balance political priorities with the need for impactful, sustainable community development.
Leave feedback about this