NAHC endorses the implementation of a National Housing Trust Fund (NHTF) that would establish a dedicated source of funding to produce, rehabilitate or preserve as primarily rental housing affordable to extremely low income families. The goal of the fund is the production and rehabilitation of 1.5 million units over the next 10 years. Trust Fund supported projects must remain affordable for 50 years, and 75% percent of funds must serve extremely low-income people.


The National Housing Trust Fund (NHTF), created in 2008 and funded in 2016, is the first new federal resource in a generation specifically designed to increase the supply of affordable housing for the lowest income households. Current funding to the NHTF is woefully inadequate to meet the immense demand for such housing. The National Housing Trust Fund was established as a provision of the Housing and Economic Recovery Act of 2008, which was signed into law by President George W. Bush. The passage of National Housing Trust Fund legislation is a major victory for low income housing advocates and the lowest income people in our country with the most serious needs. The housing trust fund will provide communities with funds to build, preserve, and rehabilitate rental homes that are affordable for extremely and very low income households. The Housing Trust will provide significant new resources to the NHTF through two simple changes to the mortgage interest deduction (MID): Reduce the portion of a mortgage eligible for a tax break from $1 million to $500,000 (homeowners would continue to get tax relief on the first $500,000 of their mortgage), and convert the deduction to a 15% non-refundable credit, helping millions of low and moderate-income homeowners who currently don’t benefit from the MID. These two changes would save more than $200 billion over ten years to invest in the NHTF.