The first weeks of Minnesota’s 2026 Legislative Session are already shaping up to be pivotal for housing. With affordability challenges and supply constraints continuing to impact communities statewide, lawmakers are advancing proposals aimed at expanding opportunity and reducing barriers to homeownership.
Housing First Minnesota has been actively engaged at the Capitol, weighing in on key legislation this week and preparing for major hearings ahead.
This Week: HOA Reform and Workforce Development
Reducing Unnecessary HOAs
Housing First Minnesota submitted testimony in support of SF 1750, legislation to reduce the creation of unnecessary homeowners associations (HOAs).
Today, more than 80 percent of new homes are part of an HOA — a number that is simply too high. While HOAs serve an appropriate role in certain housing types such as townhomes, villas and developments with shared amenities, they are often created in traditional neighborhoods because of local government mandates requiring common property.
Those mandates can shift infrastructure obligations onto private associations, increasing monthly dues and raising the cost of homeownership. At a time when Minnesota faces both a housing shortage and an affordability crisis, reducing unnecessary costs is critical.
SF 1750 does not eliminate HOAs where they are truly needed. Instead, it closes loopholes that allow them to be required when they are not essential, helping right-size their use and reduce long-term costs for homeowners.
Expanding Youth Workforce Opportunities
Housing First Minnesota also voiced support for HF 2238, legislation that expands structured youth workforce development programs in the skilled trades.
The bill supports scaling programs that allow 16- and 17-year-olds to gain hands-on experience, earn industry-recognized safety certifications and explore careers in construction. Expanding early exposure to the trades creates meaningful career pathways while helping strengthen Minnesota’s residential construction industry.
Next Week: Starter Homes Act Receives First Hearing
Looking ahead, one of the most significant housing proposals of the session, the Minnesota Starter Homes Act, is scheduled to receive its first hearing next week.
The Starter Homes Act would expand housing opportunity by reducing local regulatory barriers that make it difficult to build modest, entry-level homes. The bill would require cities to allow a broader range of housing types — including single-family homes, duplexes, townhomes and accessory dwelling units — in residential areas. It would also limit excessive zoning mandates such as large minimum lot sizes, unnecessary design requirements, parking minimums and forced homeowners associations.
In addition, the legislation would require more predictable, administrative approval processes, helping reduce delays and uncertainty in permitting. By making more land available for mixed housing and modest residential development, the bill aims to increase supply, lower regulatory costs and improve access to homeownership for first-time buyers and working families.
As Mark Foster, vice president of legislative & political affairs for Housing First Minnesota, said:
“If we are serious about addressing Minnesota’s housing shortage, we have to tackle the policies that quietly add cost and complexity to building homes. From unnecessary HOA mandates to overly restrictive zoning, these barriers make it harder for working families to buy their first home. This session presents a real opportunity to reduce those burdens and expand housing opportunity across the state.”
Building Momentum for Housing Solutions
The early weeks of session make one thing clear: housing policy remains a top priority at the Capitol.
Reducing unnecessary costs. Expanding opportunities to build starter homes. Creating pathways to homeownership.
Housing First Minnesota will continue advocating for practical, pro-housing solutions that help Minnesota build more homes and expand access to homeownership across the state.
Stay tuned for updates as these bills move through committee in the weeks ahead.
