Department of Housing and Urban Development

At a Glance

The Department of Housing and Urban Development runs housing and community programs that are properly the responsibility of local governments and the private sector. Its public housing subsidies, rental aid, and housing finance programs are costly and damaging. The department’s poor management and misguided policies have led to fraud, corruption, and waste.

The department will spend $32 billion in 2019, or $250 for every U.S. household. It employs 8,300 workers and operates 116 subsidy programs.

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Explore a historical timeline of U.S. housing and urban policy, highlighting major legislation, institutional changes, and the federal role in housing development.

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Dept. of Housing and Urban Development Static Graph — This chart was generated using our interactive charting tool, which visualizes federal spending data from the Office of Management and Budget’s 2026 presidential budget database.

Department of Housing and Urban Development Building (HUD)

Study

HUD Scandals

By Tad DeHaven

The department has suffered many management failures, with corruption and cronyism a common occurrence in the executive suites.

Study

Public Housing and Rental Subsidies

By Howard Husock

Public housing projects and federal vouchers for low-income renters have proven to be expensive failures.

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Housing Finance and the 2008 Financial Crisis

By Lawrence H. White

Programs to subsidize home ownership have created large economic distortions and were an important cause of the recent financial crisis.

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Community Development

By Tad DeHaven

These programs violate traditional federalism and spend money on properly local and private activities such as museums and parking lots.

Study

Low-Income Housing Tax Credit: Costly, Complex, and Corruption-Prone

By Chris Edwards and Vanessa Brown Calder

The LIHTC gives $9 billion a year in tax credits to developers. The program is complex, prone to abuse, and inflates construction costs.

The federal government is running huge budget deficits, spending too much, and heading toward a financial crisis. Without a change of direction in Washington, average working families will be faced with large tax increases and a lower standard of living. This project is designed to help policymakers and the public understand where federal spending goes and how to reform each government department. It describes the failings of agencies and identifies specific programs to cut. It also discusses the systematic reasons why government programs are often obsolete, mismanaged, or otherwise dysfunctional.

Please contact Chris Edwards at cedwards@cato.org with questions or comments.

Information on the data sources for our charts.

Department of Housing and Urban Development

Timeline: Department of Housing and Urban Development

Department of Housing and Urban Development Spending

Featured Content

HUD Scandals

Public Housing and Rental Subsidies

Housing Finance and the 2008 Financial Crisis

Community Development

Low-Income Housing Tax Credit: Costly, Complex, and Corruption-Prone

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