Despite forecasted deficit, Harrell proposes largest affordable housing investment in City history
Seattle – Today, Mayor Bruce Harrell announced that his 2026 proposed budget will include a nearly $350 million investment toward affordable housing – the largest investment of its kind in City history. Making the announcement from a significant affordable rental housing complex in the Central District, Harrell also issued a new Executive Order on rental assistance and shared details of a new effort called the Anti-Displacement and Reparations Housing Fund.
“As our administration has grappled with the City’s forecasted deficit, my direction from the beginning has been clear: we cannot slow down on affordable housing. With this proposal, we are accelerating our efforts to address two of our most urgent challenges: affordability and homelessness,” said Mayor Bruce Harrell. “While President Trump works to gut billions from rental assistance and erase our history, Seattle is taking a different path: investing to keep people in their homes and off the streets, while also driving intentional efforts to begin rectifying systemic impacts from decades of redlining and hundreds of years of racism and discrimination.”
Today’s announcement builds on Mayor Harrell’s comprehensive approach to driving improved affordability through new housing, including the recently announced $170 million Notice of Funding Availability through the Office of Housing.
Details of today’s announcement include:
- A $349 million investment in affordable housing – targeted at building needed affordable rental housing, housing for people exiting homeless, and homeownership opportunities. The City has opened 1,025 new units of City-funded affordable housing so far in 2025 and more than 6,500 new units since 2022. These investments will support the continued production, preservation, and stabilization of affordable housing, with a key focus on addressing the greatest need of low-income housing.
- $11.5 million for rental assistance and related supports, and an Executive Order streamlining distribution of funds to more effectively and efficiently support those in need. In the face of President Trump’s efforts to cut $27 billion in rental assistance, Mayor Harrell is proposing $4 million in new ongoing annual rental assistance — part of a total $11.5 million investment strategy. The funding and Executive Order will help keep families from falling into homelessness, assist renters facing eviction, and provide early intervention when signs of housing instability first appear.
READ: Mayor Harrell’s Executive Order on Rental Assistance
- $80 million over four years for the Anti-Displacement and Reparations Housing Fund. Following Mayor Harrell’s Executive Order to combat displacement, this program and investment strategy represents the next step in addressing and repairing harm caused by past discriminatory policies, like redlining and restrictive racial covenants, which displaced Seattle residents, especially Black communities. The program will focus on housing and housing-related financial support programs, including downpayment and closing fees assistance, rental assistance, and loans – aiming to provide support to build stability and opportunity for descendants of families impacted by legalized housing discrimination.
These efforts build on Mayor Harrell’s robust One Seattle Housing Agenda – which aims to increase affordability and improve overall housing production. Efforts include the One Seattle Comprehensive Plan Update – the most ambitious zoning proposal in City history — to double housing capacity to 330,000 units; the PACT Initiative to cut red tape and reduce housing permitting timelines by 50%; prohibitions on predatory home buying practices; record affordable housing investments totaling over $1 billion, and the mayor’s efforts to propose, pass, and implement the largest housing levy in City history.
The proposed funds and initiatives will be considered by the City Council as part of Mayor Harrell’s 2026 budget proposal, which will be presented in full later this month.
What People Are Saying
Councilmember Debora Juarez (District 5), Housing and Human Services Committee Chair
“The importance of these emergency housing investments cannot be overstated – they can make the difference in the lives of residents those facing challenges to stay housed. “We’re in the middle of an affordable housing crisis. Every investment helps prevent people from becoming unhoused and brings us closer to a solution.”
Patience Malaba, executive director of the Housing Development Consortium of Seattle-King County
“This funding is not just historic, it’s transformational. We look forward to continuing our partnership with Mayor Harrell and the City to turn this record funding into record housing, with thousands of new affordable homes for Seattle.”
Elena Ozturk, Human Services Program Administrator, El Centro de la Raza
“Rental assistance funds from the City of Seattle allow us to literally prevent individuals and families from falling into homelessness. At a time when our communities are working hard to move unhoused people into housing, these dollars are just as critical—they’re helping keep housed people in their homes.”