President Donald Trump secured a significant legislative victory Monday as the U.S. Senate passed his sweeping tax package, known as the One Big Beautiful Bill Act, in a dramatic 51-50 vote. The deciding vote was cast by Vice President JD Vance after all Senate Democrats and three Republicans voted against the measure. The bill, which includes several of the housing industry’s top priorities, is now headed back to the House of Representatives for final approval.
Celebration erupted among housing and real estate leaders following the vote. The National Association of Realtors (NAR), which had been lobbying intensely in recent months, praised the outcome. Shannon McGahn, NAR’s executive vice president and chief advocacy officer, said in a statement that the Senate’s version of the bill reflects the voice of their members, describing them as “an army of advocates living and working in every ZIP code in America.” McGahn highlighted five major wins for the housing market: the permanent extension of lower individual tax rates, a new permanent qualified business income deduction, a quadrupled SALT deduction cap for five years, business SALT deduction protections, and the permanent mortgage interest deduction.
The National Association of Home Builders (NAHB) also issued a statement in support of the bill. They celebrated provisions such as the expansion of the Low-Income Housing Tax Credit, an increase to the estate tax exemption, and the permanent enactment of the Tax Cuts and Jobs Act. However, NAHB expressed disappointment over the bill’s termination of certain energy tax credits, saying they would seek to revive them in the future.
Mortgage lenders joined in support as well. The Mortgage Bankers Association (MBA) stated it was “pleased” with the Senate-passed bill, noting it preserved and even enhanced many pro-housing and economic development provisions they had advocated for. MBA President and CEO Bob Broeksmit specifically pointed to the permanent mortgage interest deduction, deductible mortgage insurance premiums, and improvements to the Low-Income Housing Tax Credit program. He also applauded the inclusion of permanent Opportunity Zones and provisions to raise the federal debt ceiling.
Despite the widespread support from the housing sector, the bill received heavy criticism from Democrats. Senate Minority Leader Chuck Schumer condemned it as “the biggest tax breaks for billionaires ever seen,” accusing Republicans of prioritizing wealthy donors over working-class Americans. No Democrats voted in favor, and three Republican senators defected, citing concerns over fiscal responsibility and the bill’s long-term effects on the federal deficit.
The House of Representatives, which passed an earlier version of the legislation, will now need to approve the Senate’s revisions. House Speaker Mike Johnson said Republican leadership intends to move quickly, aiming to pass the final bill by Independence Day. The White House has already begun preparing for a signing ceremony, and President Trump is expected to formally enact the bill once it reaches his desk.
“This is what winning looks like,” Trump said at a press event shortly after the Senate vote. “We’re delivering on our promise to the American people — bold reforms, lower taxes, stronger communities, and a beautiful future.”
