“Affordability is entrance and heart for Individuals throughout the nation who’re feeling the pressure of rising housing prices,” Sarah Brundage, president and CEO of the Nationwide Affiliation of Reasonably priced Housing Lenders (NAAHL), stated in an announcement launched previous to the State of the Union tackle.
“Increasing homeownership is a aim value championing. However greater than a 3rd of American households lease, and their means to afford a secure house is simply as important to a robust workforce and a thriving financial system. A productive housing agenda serves everybody, renters and future and present owners alike.”
Shannon McGahn, chief advocacy officer on the Nationwide Affiliation of Realtors, echoed what was anticipated to be a theme of the speech: “housing affordability has emerged as one of many few really bipartisan points in Washington.”
Mortgage charges
The president talked about inflation and tax cuts, however solely talked about mortgage charges one time. “Low rates of interest will remedy the Biden-created housing downside whereas on the identical time defending the values of these individuals who already personal a home, that actually really feel wealthy for the primary time of their lives. We wish to preserve these values up. We’re gonna do each,” Trump stated.
The president might have highlighted how a lot mortgage charges have improved in 2026. Mortgage rates fell this week to their lowest stage since September 2022, in keeping with HousingWire‘s Mortgage Charges Heart. And monthly mortgage payments had been down 7.5% 12 months over 12 months in December, in keeping with the Mortgage Bankers Affiliation (MBA).
Mortgage refinance applications additionally surged 132% 12 months over 12 months through the week ending Feb. 13, the MBA reported, a sign that owners are locking in decrease charges and saving 1000’s of {dollars} per 12 months. And whereas single-family stock development has slowed in recent months, it’s nonetheless up 9% from a 12 months in the past, indicative that consumers in lots of components of the nation have extra selections and fewer competitors.
In January, Trump directed the government-sponsored enterprises (GSEs) Fannie Mae and Freddie Mac to buy $200 billion in mortgage-backed securities in an effort to additional decrease mortgage charges.
Banning large traders
The president talked a few girl within the viewers for instance of how shoppers needed to compete with large institutional traders, saying that she had misplaced out on 20 completely different houses to institutional traders who paid all money. Trump signed an government order in January to restrict institutional investors from shopping for single-family houses, though business consultants have famous that company homebuyers signify about 2% of all home sales.
“Now I’m asking Congress to make that ban everlasting, as a result of houses are for folks, not firms,” Trump stated Tuesday night time.
Immigration and housing
Whereas Trump frolicked speaking about unlawful immigration, he didn’t point out it within the context of housing. Final 12 months, the Trump administration barred nonresident citizens from securing mortgages by way of the Federal Housing Administration (FHA) because it sought to make sure financing assets had been directed to U.S. residents.
Administration officers additionally ended the Obama-era Affirmatively Furthering Fair Housing rule, a legislation that was initially supposed as an extension of the Honest Housing Act however was deemed “onerous” by Trump officers.
Tariffs
Early in his speech Trump introduced up the Supreme Courtroom ruling in opposition to the tariffs he imposed in April 2025. Trump’s “Liberation Day” initiated international tariffs on numerous imported merchandise, together with key homebuilding supplies corresponding to metal, lumber and aluminum. Homebuilders countered by preventing for exemptions, a few of which had been successful. However the true value of tariffs has remained unsure, with a report by the Heart for American Progress forecasting $17,500 in additional costs to construct a brand new house on account of tariff insurance policies.
The Supreme Courtroom overturned the tariffs final week, saying the president overstepped his authority by initiating them beneath a legislation supposed for nationwide emergencies.
Trump on Tuesday referred to as it an “unlucky ruling” and vowed to maintain the tariffs in place.
“The excellent news is that the majority nations and firms wish to preserve the deal that they already made, figuring out that the authorized energy that I as president need to make a brand new deal may very well be far worse for them,” Trump stated.
Bipartisan housing laws
Housing points could have gotten little consideration through the State of the Union speech, however housing teams just like the NAAHL say they’re able to act on bipartisan housing laws into account in Congress, together with the Senate‘s ROAD to Housing Act and the Home‘s Housing for the 21st Century Act.
“Moreover, Congress ought to take up the Neighborhood Houses Funding Act, which might instantly assist spur development and renovation of inexpensive starter houses for owner-occupancy,” Brundage stated. “These payments have broad assist. What they want now could be urgency.”
