March 2026 has seen some considerable changes in the housing landscape, primarily focused on deregulation to stimulate the market, improve tenant turnover, and increase inventory. From HUD policy reversals to new Executive Orders, the industry is moving at a rapid pace.
1. The HUD 30-Day Notice Rule: A Legal Tug-of-War
HUD recently moved to rescind a COVID-19 era rule requiring providers of federally backed housing to give a 30-day written notice for evictions due to non-payment. This aligns with the Respect State Housing Laws Act, which seeks to return eviction timelines to state-level jurisdiction. HUD Secretary Turner noted that this move promotes "flexibility and affordability" by acknowledging the specific needs of local communities.
Current Status: Implementation is currently delayed. The District of Columbia has filed a lawsuit in U.S. District Court challenging the move, claiming HUD bypassed the traditional notice-and-comment process. For now, the 30-day notice requirement remains in effect.
2. Proposed Work Requirements & Term Limits
To promote self-sufficiency and cycle vouchers to those on long waitlists, HUD has proposed implementing work requirements and term limits for "able-bodied" voucher recipients.
•Target: Non-disabled, non-elderly participants using Housing Choice Vouchers or Project-Based Rental Assistance.
•Exemptions: These requirements would not apply to the elderly or individuals with disabilities.
3. Legislative Watch: The 21st Century ROAD to Housing Act
On March 16, the Senate passed H.R. 6644 with a bipartisan 89-10 vote. While the bill intends to boost housing supply, the National Association of Residential Property Managers (NARPM) has raised two major red flags:
•The "Institutional" Label: Current language could classify third-party managers overseeing more than 350 units as "large institutional investors," despite them having no equity in the properties.
•Mandatory Divestment: A provision requiring the sale of single-family rental assets after seven years could deter developers and worsen the housing shortage.
4. FTC Targets "Junk Fees"
The Federal Trade Commission (FTC) has issued a Notice of Proposed Rulemaking regarding rental housing fees. This aims to regulate how fees are advertised and imposed on prospects. This process is in the early stages; public comments are open until mid-April. A final ruling could take years to navigate the federal review process.
5. Deregulation Executive Order
On March 13, President Trump signed the "Removing Regulatory Barriers to Affordable Home construction” Executive Order. This directs federal agencies to slash environmental and permitting requirements to speed up construction and reduce costs. Within the next 60 days, HUD is expected to release a new framework of "best practices" for state and local governments to follow.
The High Cost of Being Uninformed
In today’s climate, "business as usual" is a moving target. As we see with the HUD 30-day notice delay, a policy can be announced on Monday and tied up in court by Friday. For property managers and owners, staying informed isn't just about professional development—it is about risk mitigation.
In an era defined by rapid deregulation and shifting federal oversight, being unaware of a single legislative "technicality" (like the 350-unit threshold in H.R. 6644) can fundamentally change your business model overnight. Ignorance of these changes doesn't just lead to missed opportunities; it leads to legal vulnerability. To thrive in 2026, we must remain as adaptive as the laws we follow.
