As I approach the end of my undergraduate studies, one of my primary concerns is where I will live next. The current housing crisis has exacerbated my worries. It has made me feel that I cannot expect to be able to own a home anytime in the foreseeable future.
Both parties blame the housing crisis on each other for their political gain, but the truth is that both parties are equally at fault. Both parties have made many promises to help fix this issue, but their actions do not support that. Our primary goal to improve the crisis is to limit the government’s involvement and promote free-market principles. Both parties must also take accountability on the issue to allow for meaningful improvement.
Republicans advocate for fewer zoning restrictions, whereas Democrats tend to favor them more. Zoning restrictions slow the development of new houses, which causes a lower supply of homes to be available and causes the cost to skyrocket. This is present even more in inner cities as there is less housing and land is more scarce. Democrats also are known to focus more on social issues, which some people feel leads to them putting housing issues on the back burner. On the other hand, Democrats tend to see Republicans as the problem because they believe their policies regarding homeownership tend to favor the wealthy.
One issue with the housing crisis has been big-time investors, such as BlackRock, coming into areas and buying many of the single-family homes. By doing so, they can raise the cost of rent for these properties, making it less affordable for many people who cannot afford to own a home and must pay rent.
Many Americans share the dream of owning a home, and we have many policies to allow for this. However, when the government gets too involved, it causes more harm than good, as more obstacles are put in place that slow down the construction of new homes.
According to data from the National Association of Realtors, mortgage rates and the qualifying income to buy a home have been increasing yearly. The qualifying income for homeownership has risen by almost $20,000 in the past three years, making it impossible for families to buy homes.
One thing that could help improve these problems is creating more mixed-income communities. This would help avoid burdening taxpayers while making homes more accessible for lower-income families. Most communities are made up of individuals who are all in the same class. More communities with mixed incomes can help balance out many issues that arise in the area. Solutions can be found that cause less change for those who live there.
The housing crisis is a big issue regardless of what party you are associated with. Both parties must recognize their duty to help minimize the present housing issues we face. Free-market solutions and working towards more mixed-income communities are some of the first steps that need to be taken to help bring us in the right direction.
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