As housing costs continue to rise across Pennsylvania, Governor Josh Shapiro has introduced a bold plan to address the growing need for affordable housing. In his 2025-2026 budget proposal, Shapiro outlined a six-part initiative that includes $70 million in new funding to expand housing options and ease financial barriers for homebuyers and renters alike.

Addressing Pennsylvania’s Housing Shortage

According to Shapiro, the state currently needs over 100,000 new homes and apartments to meet the increasing demand for housing. His proposal aims to bridge this gap through targeted funding and policy changes designed to support both first-time homebuyers and existing homeowners in need of repairs.

Key Highlights of the Housing Plan

• $10 million for first-time homebuyers – This funding will assist new buyers with closing costs, helping more residents transition from renting to homeownership.

• $10 million to fund new affordable housing developments – Additional funding will be allocated to existing state programs to support the construction of affordable housing units.

• $50 million for home repairs – This initiative will help homeowners make necessary repairs, ensuring safe and stable housing for residents.

• Interagency Council on Homelessness – A new council will be established to coordinate efforts across state agencies to combat homelessness effectively.

• New staff for the state’s planning board – Increasing staffing levels will help streamline housing development and planning processes.

• Sealing of eviction records – Shapiro’s plan includes measures to seal eviction records for tenants who were never actually evicted, reducing barriers to future housing opportunities.

What This Means for Pennsylvania Homebuyers and Renters

With home prices and rental rates continuing to climb, these measures could provide much-needed relief for Pennsylvania residents struggling to find affordable housing. For first-time homebuyers, the proposed closing cost assistance could make purchasing a home more accessible, while expanded affordable housing development ensures that lower-income residents have more options.

For current homeowners, the $50 million home repair fund will allow for crucial maintenance and improvements, preserving the value and safety of properties across the state.

Looking Ahead

Governor Shapiro’s Housing Action Plan will be further detailed in a full report expected later this year. If approved, these initiatives could significantly impact the real estate market by increasing housing availability and improving affordability.

Stay Informed

For more updates on Pennsylvania’s housing policies and how they may impact buyers, sellers, and investors, stay connected with our blog.

Source: Philadelphia Inquirer, 2/4/2025