Historic Legislation Passes in the House, Set to Head to the White House for President’s Signature

President Trump’s $3.3 trillion economic overhaul, officially titled the “One Big Beautiful Bill,” has successfully passed the House of Representatives by a narrow vote of 218-214. After intense negotiations and long nights of debate, the bill will now head to the President’s desk for final approval. This measure addresses key issues including taxes, border control, national defense, energy policies, and the national debt.

The bill has faced significant opposition, particularly from Democrats, with House Minority Leader Hakeem Jeffries delivering a marathon speech that lasted over eight hours, voicing concerns about the bill’s impact on American families. Despite this, the measure passed through the Senate with Vice President JD Vance casting a tie-breaking vote, allowing the bill to continue its journey toward the President’s signature.

Key Provisions in the “One Big Beautiful Bill”

The legislation includes various provisions aimed at boosting the housing market and making tax policies more favorable to homeowners. Among the provisions:

• Tax Cuts for Homeowners: The bill includes a permanent extension of lower individual tax rates, which is seen as a win for homeowners and investors.
• Boost for Housing Investment: The bill also extends and strengthens the qualified business income deduction (Section 199A), benefiting real estate businesses and housing investments.
• Mortgage Interest Deduction: A permanent extension of the mortgage interest deduction helps homeowners continue to save on taxes.
• SALT Deduction Cap Increase: The State and Local Tax (SALT) deduction cap is raised from $10,000 to $40,000, which will provide significant tax relief for homeowners in high-tax states.

Realtor.com Senior Economist Jake Krimmel highlighted that this change could save homeowners thousands of dollars annually, especially in high-tax areas like New Jersey, New York, and California. The SALT cap increase could lead to higher demand and rising home prices in affluent neighborhoods with high property taxes.

Consumer Financial Protection Bureau (CFPB) Funding Decrease

One of the more controversial aspects of the bill is the reduction in funding for the Consumer Financial Protection Bureau (CFPB). The bill cuts the Bureau’s budget in half, which critics argue could weaken its ability to protect consumers from financial abuse. Chuck Bell, Advocacy Program Director at Consumer Reports, warned that this could expose consumers to more financial scams and unfair practices.

On the other hand, supporters of the bill argue that reducing the CFPB’s funding is necessary to curb government spending and ensure that the Bureau is fiscally responsible without affecting its core functions. The reduction will result in savings for taxpayers but has sparked considerable debate over the future of consumer protections.

Impact on Housing Supply and Opportunity Zones

Another major aspect of the bill is its focus on increasing housing supply, particularly in underserved areas. HUD Secretary Scott Turner praised the permanent expansion of Opportunity Zones, which are designed to attract investments to struggling communities. The bill aims to further incentivize development in rural, urban, and tribal areas, providing new opportunities for affordable housing.

“This legislation has already lifted over one million Americans out of poverty and attracted billions in investment,” Turner said. “We’re committed to continuing this momentum to ensure that underserved communities benefit from long-term growth.”

The bill also targets the need for increased housing supply by addressing zoning issues and offering tax incentives for builders in high-demand areas. This measure is expected to have a lasting impact on the housing market by increasing the availability of affordable homes for first-time buyers.

Skepticism About Long-Term Effects

While proponents argue that the bill will strengthen the economy and provide long-term benefits to homeowners, critics express concerns about its long-term impact on middle-class Americans. Rising property taxes in high-demand areas may offset some of the tax savings for homeowners in expensive regions. Additionally, the cuts to social programs and the focus on reducing government spending have raised alarms among those who worry about the bill’s potential to widen the wealth gap.

Nevertheless, with the bill now headed to the White House for President Trump’s signature, its provisions are poised to bring significant changes to the nation’s tax structure, housing policies, and economic outlook.

What’s Next?

As the One Big Beautiful Bill nears final approval, lawmakers and industry leaders alike are preparing for its implementation. The bill’s success in the House marks a key victory for the Trump administration, but it remains to be seen how its provisions will play out in practice. In the coming weeks, state and local governments will begin to adjust to the new tax rules, and housing markets will likely see the effects of the expanded SALT deduction cap and other incentives for investment in affordable housing.

One thing is clear: whether viewed as a triumph for economic growth or a challenge for the middle class, the One Big Beautiful Bill is set to shape the future of U.S. fiscal policy for years to come. For direct financing consultations or mortgage options for you visit 👉 Nadlan Capital Group.