Trump Shifts Focus to Housing Affordability Amid Voter Concerns Over Cost of Living
Following the GOP’s challenges in recent off-year elections and a modest decline in approval ratings, President Donald Trump has placed renewed emphasis on addressing the cost-of-living crisis, particularly the severe shortage of affordable housing that continues to affect younger Americans.
Strong Overall Economy, Persistent Housing Pressures
The broader U.S. economy has shown continued strength under the Trump administration, with inflation moderating, grocery prices rising only 1.4% (in line with Federal Reserve targets), energy costs declining, real weekly earnings up 1.2%, and unemployment near historic lows.
However, housing costs remain a significant outlier, driving much of the public’s economic unease.
A Marist/NPR/PBS poll found that nearly 6 in 10 voters—including 3 in 5 independents and 2 in 5 Republicans—want the administration to prioritize lowering prices.
Approval ratings reflect this generational divide: support among boomers and Gen X has remained relatively stable, while net approval has fallen 17 points among millennials and 31 points among Generation Z, according to Economist/YouGov data.
Housing Shortage Hits Young Americans Hardest
The median age of first-time homebuyers has reached 40, and average home prices have risen more than 45% since the start of the pandemic—far exceeding overall inflation.
A key factor is the estimated 7-million-unit shortfall in housing supply, largely attributed to restrictive state and local zoning regulations that limited new construction, especially after the Great Recession.
A University of Toronto analysis of Census Bureau data concluded that rising housing costs since the 1990s account for approximately 51% of the decline in U.S. fertility rates, with potential long-term implications for workforce size and the sustainability of Social Security and Medicare.
Path Forward: Federal Pressure on State and Local Barriers
President Trump has highlighted the housing crisis as a priority, stating at the McDonald’s Impact Summit that ending the Biden-era affordability challenges remains a central goal.
While his administration’s recent tax-reform legislation marked a major domestic achievement, attention is now turning to potential federal actions—including incentives, regulatory relief, and direct engagement with states and localities—to increase housing supply and ease the burden on younger families seeking to buy homes and start families.
