58 - NEW Government Plan To FIX The Home Affordability Crisis

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Within days of taking office, President Donald Trump issued an emergency order to reduce housing costs and expand supply, citing excessive regulations as a major barrier to homeownership. Experts estimate that regulations account for around $90,000 of the cost of new construction, making it a significant factor in the housing crisis. While Trump’s focus on cutting regulatory red tape could lower costs and boost supply, most housing regulations, like zoning laws and permitting, are controlled by local governments, limiting federal authority. Experts agree that addressing the housing shortage, which ranges from 2.5 to 7.2 million homes, requires collaboration across all levels of government and strategies to incentivize local change. Additionally, the federal government could influence affordability through mortgage policies, including reducing fees and privatizing Fannie Mae and Freddie Mac, to make homeownership more accessible.

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