The Trump administration outlines new measures to tackle America’s affordability crisis, including a proposed 50-year mortgage, regulatory reforms, opportunity zone expansion, and homelessness program restructuring. HUD official Scott Turner discusses rising homeownership costs, immigration-related housing strain, and solutions to restore the American Dream.
Trump Administration Highlights Push for Affordability as Housing Crisis Deepens Across the U.S.
The debate over rising living costs and America’s deepening housing crisis intensified this week as President Donald Trump unveiled his sweeping plan to restore affordability for families and small businesses. Speaking at the McDonald’s Impact Summit in Washington, President Trump sharply criticized what he called “Joe Biden’s prices and his hikes,” claiming that the typical American family has lost an estimated $33,000 under the previous administration.
He reiterated his pledge to ensure that American families become richer, stronger, more successful, and happier, and insisted that his administration would not rest until every citizen has access to the American Dream.
The affordability issue has become particularly severe in the U.S. housing market. According to the National Association of Realtors, the median age of all American homebuyers has now reached 59 years. First-time homebuyers, once a strong share of the market, have fallen to a record low of just 21 percent, with their median age now at 41 years.
Analysts also point to rising expenses that are often overlooked, with new data showing that hidden homeownership costs can reach nearly $60,000 per year, including maintenance, insurance, and property taxes. Mortgage rates continue to remain elevated, with the 30-year fixed mortgage rate sitting at 6.2 percent, a slight increase from the previous week.
President Trump recently announced a proposal to introduce a 50-year mortgage option for Americans as a way to ease financial pressure and expand access to long-term homeownership. The proposal has already generated widespread debate, and industry leaders are expected to weigh in on its feasibility. Trump’s upcoming conversation with Pershing Square Capital Management founder Bill Ackman is anticipated to provide more insights into the plan’s potential impact on the housing market.
In a discussion with Housing and Urban Development official Scott Turner, further light was shed on the administration’s strategy to address what many are calling a nationwide affordability and housing crisis. Turner noted that when the administration came into office, inflation had surged, interest rates were high, and mortgage rates were elevated.
He emphasized that regulatory barriers were a major contributor to high construction costs, citing that 40 percent of the cost of multifamily housing development comes from regulation. For single-family homes, regulatory burdens also remain a substantial obstacle. Turner said the administration has focused on reducing unnecessary regulations and empowering local control to revive development activity.
Turner highlighted opportunity zones as a key driver of increasing housing supply. He said nearly $90 million in private capital has flowed into opportunity zones, resulting in approximately 300,000 new housing units being developed. President Trump has proposed making opportunity zones permanent, with the expectation that this would further raise supply and reduce housing costs for Americans.
The discussion also turned toward immigration and its impact on housing markets. Turner criticized the previous administration for allowing illegal immigrants access to FHA-backed mortgages. He said that earlier this spring, the Trump administration revoked FHA mortgage eligibility for illegal immigrants, arguing that taxpayer-backed mortgages should be reserved for American citizens. Turner said federal housing authorities have been instructed to identify who occupies government-supported housing to ensure accountability.
Homelessness was another major theme, with Turner asserting that homelessness had surged under the Biden administration due to poor policy design. He stated that record funding of roughly $80 billion had been allocated previously, but without meaningful improvement. Turner said nearly $12 billion was spent through the Continuum of Care program, which he described as a system that rewarded nonprofits based on the number of homeless individuals they managed rather than the number they helped rehabilitate.
The Trump administration has announced a $4 billion competitive grant initiative aimed at reforming homelessness programs. Turner emphasized that the goal is to shift from what he called “warehousing homelessness” to addressing root causes such as mental illness and drug addiction. Under their revised approach, programs will prioritize transitional housing, treatment, and long-term transformation rather than perpetuating dependency.
Turner also recounted his own personal experience, sharing that his uncle, a U.S. veteran, spent years homeless before receiving supportive services that allowed him to live his final years with dignity. This, he said, shaped his commitment to pushing policies that help Americans achieve stability and self-sufficiency.
The conversation concluded with concerns about rising homelessness in major cities such as New York, where officials have proposed busing homeless individuals around the city. Turner argued that repeating the same approaches of the past will not solve the issue and emphasized the need for a new policy playbook, comparing the situation to adjusting strategy in professional football.
As the Trump administration continues to publicly confront issues of inflation, home affordability, homelessness, and regulatory overload, the political and economic debates are expected to intensify. With the affordability crisis now touching nearly every American household, policy decisions in the coming months could shape the nation’s economic trajectory for years to come.