Presidential debate skirts housing affordability

Last night's presidential debate disappointed some trade groups by only briefly touching on how the two contenders will address housing affordability, even though other indicators suggest there could be stark differences in their approaches.

Upon being asked about the strain of rising home prices, President Biden said actions he's taking in line with that aim include his efforts to lower broader inflation, something former President Trump also said he'd tackle.

In addition to fighting inflation, Biden said he plans to increase housing supply by "making sure we build 2 million new units" and capping rents. 

The candidates also faced a question about the still-wide homeownership divide between Black voters and white households, with both candidates calling the concern a product of inflation and Biden saying he'll continue taking steps to narrow the gap.

"For example, I provided the idea that any Black family first-time homebuyer should get a $10,000 tax credit," Biden said, also pointing to broad efforts he's made to prevent discrimination. President Trump, in contrast, rolled back fair lending rules during his term.

Although Realtor.com reported that the scant mention of housing wasn't entirely surprising as it was in line with past debates between the two candidates, the omission was out of line with voter interest. 

A recent poll from online real estate brokerage Redfin found that 53.2% of households said their election decision will be influenced by housing affordability. The candidates did face some questions about it, but only President Biden addressed the topic directly.

Also, a national survey from the University of Michigan and the Financial Times found that Americans' financial ability to afford a home ranked as a top concern by a nearly equal 70% share of Democrats, Republicans and independent voters alike. 

In light of that, Ralph McLaughlin, a Realtor.com economist, said he had hoped for, "more discussion about your house, and less about the White House."

Similarly, Carl Harris, chairman of the National Association of Home Builders, issued a comment following the debate stressing a need for the presidential candidates to address the housing supply shortage and implement solutions. 

"The housing affordability crisis is a top national concern and Americans will take notice why the presidential candidates said very little on how to make homeownership and renting more affordable," Harris said in a press release.

Builders are looking for efforts that would increase inventory, Harris said.

"With a nationwide shortage of roughly 1.5 million housing units, the only way to bring down rising housing costs is to put in place policies that will allow builders to increase the housing supply," he added.

Harris also suggested some other strategies the presidential candidates should work with lawmakers on to alleviate stresses on housing construction and affordability challenges for consumers. 

"The administration and Congress must address excessive regulations, support trades education to alleviate a severe labor shortage in the construction industry that is delaying home building projects, and oppose restrictive, mandatory building codes that significantly raise housing costs and provide little energy savings to consumers," he said, referring to some items in a set of recommendations the NAHB has.