Summary
President Donald Trump faces a challenge in balancing keeping home values high while trying to make homes more affordable for first-time buyers. A shortage of homes is contributing to high prices, and experts suggest that building more housing, especially multi-family homes, could help. Lowering mortgage rates and reducing tariffs on construction materials are other ways experts believe could improve affordability.
Key Facts
- President Trump acknowledges a conflict between maintaining high home values and improving housing affordability.
- Experts say a lack of housing is causing high prices, suggesting the U.S. needs 3 to 4 million more homes.
- As of November, the median sale price of a home in the U.S. was $433,261, a slight increase from the previous year.
- Higher density housing, like townhomes, could lower entry costs for new buyers.
- Encouraging dense housing and avoiding policies that affect livability could help solve the issue.
- Reducing mortgage rates and tariffs on construction materials could also aid affordability.
- The average mortgage rate for a 30-year loan was 6.15% as of late December.
