The investments include providing $100 million through a new fund over the next three years to support affordable housing financing.
The Biden administration is announcing new steps to increase access to affordable housing as still-high prices on groceries and other necessities and high interest rates have dramatically pushed up the cost of living in the post-pandemic years.
Treasury Secretary Janet Yellen will promote the new investments on Monday during a visit to Minneapolis. The investments include providing $100 million through a new fund over the next three years to support affordable housing financing, boosting the Federal Financing Bank’s financing of affordable housing and other measures.
Also see: Homeownership suffers in California, US as prices outstrip incomes
The increased attention to home prices comes as the housing crunch becomes an increasing issue in this year’s general election campaign.
“We face a very significant housing supply shortfall that has been building for a long time,” Yellen says in remarks prepared for delivery Monday afternoon. “This supply crunch has led to an affordability crunch.”
Yellen says the Democratic administration is “pursuing a broad affordability agenda to address the price pressures that families have been feeling.”
Also see: 23% of homebuyers tell pollsters they regret paying too much
Both homebuyers and renters are facing increasing housing costs that skyrocketed after the pandemic.
