National Housing Act of 1934

E10664

The National Housing Act of 1934 is a U.S. federal law enacted during the New Deal to stimulate the housing market by improving mortgage lending practices and expanding homeownership through government-backed insurance programs.


Statements (48)
Predicate Object
instanceOf New Deal legislation
United States federal statute
administeredBy Federal Housing Administration
aimedToAddress high foreclosure rates in the early 1930s
housing shortages during the Great Depression
instability in mortgage lending markets
appliesTo private financial institutions participating in FHA programs
residential mortgage loans meeting FHA standards
authorized federal insurance of private mortgage loans
branchOfGovernment legislative
codifiedIn Title 12 of the United States Code
country United States
createdAgency FHA
Federal Housing Administration
dateEnacted 1934-06-27
effect extension of mortgage repayment periods
reduction of down payment requirements for home purchases
standardization of long-term, amortized mortgages in the United States
enactedDuring New Deal
focus improvement and modernization loans
mortgage insurance for single-family homes
historicalContext Great Depression
jurisdiction United States federal government
legislativeBody United States Congress
longTermImpact expansion of homeownership in the United States
growth of the 30-year fixed-rate mortgage
increased federal role in housing finance
partOf New Deal housing programs
policyArea banking and finance
housing policy
mortgage insurance
urban development
presidentAtEnactment Franklin D. Roosevelt
provides federal insurance for approved home mortgages
insurance for lenders against mortgage default
purpose to expand homeownership
to improve mortgage lending practices
to provide federal insurance for home mortgages
to stimulate the housing market
relatedLegislation Housing Act of 1937
Housing Act of 1949
shortTitle National Housing Act
signedBy Franklin D. Roosevelt
sponsorType Democratic administration initiative
targetGroup homebuyers
mortgage lenders
targetSector residential housing market
yearEnacted 1934


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