The attorneys general said the guidance threatens to cut complaint referrals and funding to state and local fair housing agencies that provide protections that go beyond the federal Fair Housing Act.

Retirements and a lack of new hires led staffing levels to shrink in the third quarter of 2025.

Staffing levels at the Department of Housing and Urban Development fell in the third quarter last year, according to a report from the Government Accountability Office.

Consumer advocates called on HUD to withdraw the proposal, noting that if finalized, it would undermine the agency’s enforcement of the Fair Housing Act’s protections against unlawful discrimination.

Mortgage industry generally supports the proposal’s efforts to withdraw HUD’s discriminatory effects regulations.

Newly coordinated standards at the GSEs make it easier for certain factory-built homes to receive site-built financing.

The appropriations committees in the House and Senate released a final draft of a bill to fund HUD for fiscal year 2026.

Department of Housing and Urban Development Secretary Scott Turner was evasive as members of the House Financial Services Committee asked him to elaborate on his plans and achievements.

HUD said its prior assertion that the disparate-impact regulations provided “clarity and predictability” is diminished following the Supreme Court decision overruling the Chevron framework.

FHA proposed loosening restrictions on auction platforms for claims without conveyance of title sales.