This is the first time this story is in a four-part series.
President Trump returned to the White House with pledges to deal with the housing shortage and the affordability crisis. But his move to crack down on trade policies, immigration and the size of the federal government threatens to exacerbate the burden on homeowners he has pledged to rest.
The Trump administration has emphasized homeownership as a “ticket to the American Dream” in an attempt to tell the “golden age of America,” but housing appeared to have some backseat on foreign policy and border issues for months in the opening months of the president’s second term. And some of his moves in those aspects risk contributing to the increased costs and hurdles of everyday American homeownership, such as collecting tariffs and increasing deportation.
“They’re a great opportunity to learn about the quality of their lives,” said Katherine Einstein, a professor of political science at Boston University and leader of the Institute of Housing Politics.
But Trump’s first administration didn’t appear to prioritize housing affordability, Einstein said. He then said, “Leave deep pessimism about whether the Fair Housing Act will continue to be enacted and whether there is little federal funding for the production of new homes.”
High housing costs and mortgage rates are preventing future buyers from jumping into a squeezed market despite the struggle for regions across the country to keep up with demand. pending home sales based on the signed agreement of an existing home;Record low hitAt the beginning of the year.
Meanwhile, the US homelessness reached record highs in 2024. The Ministry of Housing and Urban Development (HUD) tallied more than 770,000 people experiencing homelessness overnight, up 18% from 2023.
Clearly, the country is “at a housing crisis,” Einstein said.
That’s how affordable the home wasThe biggest issue of the 2024 electionpulling out promises from presidential candidates, addressing shortages and supporting future buyers. Trump PlatformThey partially denounced open borders for increasing housing costs. He then vowed to open up some of the federal land for new buildings, promote homeownership through tax incentives, reduce mortgage fees by “reducing inflation” and “reducing unnecessary regulations that increase housing costs.”
Trump on his first day in officeI signed an executive orderThe aim is to address that crisis and order the enforcement department and agencies to reduce housing costs and expand housing supply. The Executive Director was instructed to report on its implementation periodically.
“This order is light on the details of how to deal with the housing affordability crisis, but we can see that it encourages housing to be heading towards the top of the agenda.” With analysisat that time.
The administration then made little effort to address housing prices expressly. Burner after Trump addressed Congress in a highly scheduled March speech about his actions and priorities. In another statement He called for the president because he wasn’t working on housing affordability in his remarks.
The speech came shortly after HUD Executive Director Scott Turner announced in late February that the department would remove the rules that Trump warned that it would “destroy the value of the house.”
The Fair Housing (AFFH) rule prohibiting housing discrimination was enacted during the Obama administration to “overcome a historic pattern of separation.” And it ended by Trump The following year, 2020, before he recovered by former President Biden.
“I think it shows that the federal government is taking a big step towards producing affordable housing and promoting local governments to do that right,” Einstein said of the rules rollback.
Handling Trump’s HUD itself also issued an alarm among housing experts.
The agency is responsible for policies and programs that address the country’s housing needs and enforce fair housing laws. Through the department, the federal government can play a role in supporting funding publicly granted housing and encouraging zoning and land use changes to support housing developments and fair housing practices.
Concerns over the agency’s direction under Trump rose when he tapped Turner, a former NFL player who served as executive director of the Opportunity and Revitalization Council during Trump’s first term, and led the department. Turner was confirmed in the Senate with a 55-44 vote, with Democrats John Fetterman (Pa.) and Peter Welch (VT.) crossing the aisle to assist him, but he was faced with questions about his role eligibility.
“Turner has political and public services. But we’re talking about NFL players. Why are you choosing professional athletes to run one of the most important safety nets in the country?” asked Anthony Luna, CEO of California-based commercial real estate advisory and property management company.
Einstein also said Turner, who taps Trump, is “a signal where the Trump administration is looking at housing policy,” referring to his thin resume in the housing sector. “I think it will help you see where the administration’s policy goals are,” she said.
The department is also facing major reforms as Trump and his DOGE committee crack down on the size of the federal government.
Turner“Doge Task Force” has been launched In the reported HUD We will collect $1.9 billion in funds He said it was misplaced in the previous administration, and another $260 million was incorrect.“A wasteful contract.”And multiple The outlet reportsThe potential for dramatic reductions in sector workforceFederal Housing AgencyElsewhere, they question the potential impact such cuts could have on home buyers.
The Associated Press reported in early March that HUD ended its $1 billion green and resilient retrofit program and funded renovation projects at affordable housing units across the country.
“They might say [housing] “We’ve been working on housing, land use planning and community development,” said Terry Crower, a professor of public policy at George Mason University.
“I think the reasonable concern here is who will remain to manage the program, even for programs that have not been completely cancelled,” Clower said. “If the purpose is destructive, they certainly achieve that.”
And experts are worried that other Trump moves, including his hard-hit immigration policies, could harm housing spaces. Unauthorized, the country’s immigration accounted for 15% of all construction workers as of 2020. According to the reportThat year, Pew Research had a triple share of its share among all US workers. And Trump’s deportation blitz has many people wary of the sector.
“We know that our construction industry is heavily dependent on immigrants and migrant labor, and we are basically slowing or halting because we fear labor and labor shortages and labor forces all over the country,” Luna said.
“When we see the project continues to take over, costs continue to increase.”
Trump also leaned the US economy into a trade war by wiping tariffs across multiple countries, spurring sharp losses in stock markets and worrying consumers about potential price increases. He recently suspended tariffs on most of the country’s trading partners for 90 days, but raised China to an import tax of 145%.
Experts said the move could strain both builders and buyers.
“When Trump last took office, he imposed tariffs on Canadian goods, including coniferous wood, for a short period of time. Of course, it increases the cost of building a house,” Clower says.
Still, the Trump administration predicts optimism about addressing the country’s housing problem.
Turner praisedTrump’s “liberation day” tariff And I saidRecent Posts on Social Platform xTrump “works to make sure our home is made in America” and “reclaiming manufacturing and work.”
“Cement, lumber, steel. You can’t build a house without them. For decades, we’ve been buying these products from outside the United States,” Turner said.
Turner and Secretary of the Interior Doug Burgham alsoTask Force has been launchedLast month, roughly identifying parts of the federal government640 million square acresLand for housing development, moving forward with the promise of campaigns.
There is also that initiativeFloated by some Democrats“It can be very promising,” Clower said. “But it’s all the demons, all the details. What conditions will they put on it and who will ultimately be in charge of it?”
“We all understand the housing crisis facing our country, but I challenge all American lawmakers and citizens to see it as an opportunity, not a crisis,” Turner told Hill in a statement last month.
“An opportunity to make a difference in the lives of many. An opportunity to lift individuals and families and guide a path to self-sufficiency. An opportunity to enact impactful and lasting policies based on President Trump’s day executive order to reduce housing costs.”
Turner said his goal was to find “long-term solutions” for affordable housing, creating business, and economic opportunities for Americans.
