Business

Biden’s Housing Bombshell: Rent and Home Prices Surge to Unaffordable Heights

Published

June 15, 2024

According to Katrina Campins, host of Mansion Global on Fox Business, the current housing and pricing market in the US is becoming increasingly unaffordable for Americans. With prices surging under the Biden administration, many are struggling to keep up.

Rent and Home Prices on the Rise

Rent has increased by 21% between 2021 and now, while home prices have skyrocketed by 33.9%. Interest rates have also seen a significant hike, with 30-year fixed rates going from 2.77% to 6.99% or even 7% in some cases.

Energy Costs Add to the Burden

Energy prices are also on the rise, with companies investing in infrastructure and passing the costs on to consumers. This has resulted in higher property taxes and energy costs for homeowners.

Build-to-Rent Communities on the Rise

A growing trend in the housing market is build-to-rent communities, where builders are constructing homes and communities specifically for rental purposes. While this offers stability and amenities for renters, it also highlights the challenges faced by those seeking affordable housing options.

Negotiating Mortgages and Interest Rates

Campins suggests that buyers can negotiate with sellers or builders to buy down their mortgage rates, resulting in significant savings. However, this is only a temporary solution, and interest rates are expected to rise again in the future.

The current housing and pricing market in the US is a cause for concern, with many Americans struggling to afford basic necessities like housing and energy. As prices continue to surge, it remains to be seen how the market will respond and what solutions will be offered to those in need.