The Disaster Housing Flexibility Act of 2025 amends the Robert T. Stafford Disaster Relief and Emergency Assistance Act to introduce a new alternative block grant program for temporary housing assistance. This program empowers states to take a more direct role in managing housing support for individuals and households affected by major disasters. The President, through the Federal Emergency Management Agency (FEMA) Administrator, will establish and oversee this new initiative. Under the program, the Administrator must assess the cost of temporary housing assistance for each impacted state, consulting with states to ensure reasonable estimates that reflect assistance otherwise provided under existing programs. States can then elect to apply for a block grant, which would replace individual eligibility for direct federal temporary housing assistance. The bill also allows states to request a single adjustment to the grant amount if the initial funding proves insufficient. States receiving these block grants are required to submit detailed reports, including an initial disbursement plan , annual updates on expenditures, and a final report assessing the program's effectiveness. Any funds remaining after recovery activities can be repurposed for preparedness or mitigation activities within the state. Furthermore, the Administrator must provide annual reports to Congress, evaluating the program's implementation, challenges, and recommending improvements.