Given the high cost of purchasing a home at the current moment in the United States, what can the President and the Executive Branch do on their own? In addition to supporting legislation for a new tax credit, the Biden White House has ideas about its own actions:
Brainard suggested that President Joe Biden will not wait for Congress. The administration, for example, said that it was advocating for zoning reforms that will help unlock the construction of affordable homes.
“Our Department of Transportation is making billions of dollars in low-cost loans available for developing housing near transportation,” Brainard said.
The administration has also been trying to help first-time buyers who have struggled to gain a foothold into homeownership. Home prices were nearly 6 times the median potential first-time homebuyer income in the third quarter, according to NerdWallet’s recent analysis.
The White House pointed out that it was trying to reduce costs for first-time buyers through the the Federal Housing Administration program. The effort, it said, helped reduce mortgage insurance premiums by 0.3 percent.
Many presidents from the early 20th century onward have promoted homeownership in rhetoric and policy. These proposed actions would continue this pattern. Could a president even if elected if they did not support homeownership for the masses? See great quotes in homeownership.
Of course, the President and the Executive Branch can only do so much in this area. Yet, a number of important changes to housing policy have come through this branch. Will Biden make a significant change or is this about temporary salves? All of these proposals do not alter the fundamental economic realities that make current homes so expensive. They offer incentives or help around the edges. Addressing zoning from a federal level could prove interesting as it is such a local matter.
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