Home » Bangor » HOUSING – TRUMP CARD

HOUSING – TRUMP CARD

Trump likes to build things, and if you ask 100 real estate agents from around the country what is the one thing that would help them sell more homes, the most common answer would be increasing available housing inventory, especially in the affordable price ranges.

The home-building industry was nearly decimated during the housing crisis. New-home construction was almost non-existent between 2008 and 2013. During that same period of time, the country added nearly five million new households. The net result of this shortage of housing supply has been a sharp increase in home prices and an equally sharp decrease in affordability, leaving millions of would-be homeowners on the sidelines.

This has proven to be a difficult problem to solve, as rising construction costs and an increasingly complicated regulatory environment have made the business prospect for the construction of affordable homes unviable in many markets. The Trump Administration could inject a powerful boost to the industry and go a long way toward reversing the trend of decreasing homeownership rates across the country.

Members of the new administration have promised an overhaul of our financial regulations. Many leaders in the housing finance industry, believe the market would benefit by some selective regulatory relief. While nobody wants a return to the irresponsible lending, pulling back on a few regulatory levers would stimulate demand.

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