Vice President Kamala Harris and Minnesota Governor Tim Walz, the Democratic nominees for president and vice president, respectively, outlined their policy priorities in their first major televised interview since securing the nominations. In the interview with CNN, Harris emphasized that affordable housing remains a central issue she plans to tackle if elected.
When asked about her priorities on day one as president, Harris highlighted the importance of extending the child tax credit and closely linked this initiative to addressing the nation’s housing challenges. “Investing in the American family around affordable housing is a big issue in our country right now,” Harris said.
CNN anchor Dana Bash questioned Harris about the perception that the economy, before the COVID-19 pandemic, was effectively managed by the Trump administration, including through more affordable housing prices. Harris criticized former President Donald Trump for what she described as his “mismanagement” of the pandemic but acknowledged the economic hardships facing voters. “Prices, particularly for groceries, are still too high,” Harris stated, underscoring her commitment to reducing costs for American families. She mentioned combating price gouging as part of her strategy.
Harris also elaborated on her housing plan, revealing a proposal for a $25,000 tax credit for first-time homebuyers to help them afford a down payment, a key step toward achieving homeownership and the American dream.
The specifics of Harris’s proposal sparked discussion among housing experts, who initially expected the assistance to come as direct monetary aid rather than a tax credit. Redfin Chief Economist Daryl Fairweather clarified that while Harris referred to it as a tax credit, it could still be issued as cash at the time of purchase, similar to how the child tax credit was distributed.
National Housing Conference CEO David Dworkin weighed in on the proposal, noting that if targeted and well-implemented, the program is unlikely to inflate housing prices. He emphasized that it should focus on first-generation homebuyers earning less than 140% of the area median income.
Meanwhile, former President Trump’s stance on housing was also scrutinized. NPR reported that during his first term, Trump proposed significant cuts to federal housing programs, which could indicate a similar approach if he returns to office. Trump has linked housing availability to immigration, arguing that reducing immigration would free up housing, though experts caution this could negatively impact new construction, which relies on immigrant labor.
Trump has also signaled his intention to influence Federal Reserve policy if re-elected, particularly concerning interest rates, which he argues would make housing more affordable. However, the power to adjust interest rates resides with the Federal Reserve, not the presidency.
As the election approaches, both candidates’ housing policies are expected to be closely scrutinized by voters and experts alike.
