U
.S. Treasury Secretary Scott Bessent has signaled that President Donald Trump’s administration may declare a national housing emergency within weeks, granting the federal government sweeping authority to override local roles and intervene directly in the housing market. Trump has floated opening federal lands for residential development.
The affordability crisis is stark. Harvard’s Joint Center for Housing Studies reports that home prices have risen 60% since 2019, with the median single‑family price now five times the median household income. Rising costs are partly due to insurance premiums, which jumped 57% between 2019 and 2024, driven by climate risk—a factor we have warned about. Mortgage rates remain high, fueled by the sharp rise in 30‑year U.S. bond yields.
The shift has expanded the renter base, which grew by 848,000 in 2024, sparking a build‑to‑rent boom. That year, multifamily developers added 608,000 new units—the most in nearly four decades.
Industry leaders largely support an emergency declaration. Shannon McGahn, EVP and chief advocacy officer of the National Association of Realtors, said the move highlights the urgency of supply constraints, noting the nation is short 4.7 million homes and calling for bold, coordinated action.
Commercial real‑estate firms may face mixed impacts. Aggressive supply incentives could alter zoning, land use, and redevelopment priorities, while rent controls could emerge with unintended consequences.
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