Live Updates: Donald Trump, Kamala Harris Election News

A chronic undersupply of homes has helped catapult prices to near record highs. During the pandemic, more people wanted to move to larger spaces, exacerbating the problem. This shortage also affects rental prices.

Vice President Kamala Harris and former President Donald Trump differ in their plans to address the problem:

Harris: In August, Harris unveiled a multi-phase plan to reduce housing costs. One provision promises a down payment of up to $25,000 and a $10,000 tax credit for first-time home buyers.

Harris also proposes working with the private sector to build 3 million new housing units. Harris said she would create a tax incentive for the first time to specifically encourage homebuilders to build entry-level homes for first-time buyers.

The plan also includes two main proposals to reduce rental costs. Both rent reduction plans require congressional approval, meaning the measures could be difficult to pass even if Harris wins the presidency.

Trump: Unlike Harris, Trump has not launched a formal housing plan, but he has laid out plans to deport undocumented immigrants to shelters. Trump accused them of driving up housing costs and said he would ban them from taking out mortgages.

Both Trump and Harris have promised to rezone some federal land for affordable housing.

Trump also said that falling interest rates would help lower mortgage rates.

“We will, in our opinion, bring it back down to 3%, maybe even lower, saving the average homebuyer thousands of dollars a year,” he said. However, mortgage rates are generally based on the yield on 10-year U.S. Treasury bonds, which the president does not directly control.

Read more about the Housing affordability problem and explore where both Trump and Harris are I stand here on other issues.