Blue Press Journal – Friday Fact Check
Buying a home has become a nightmare for many Americans and the prices of housing are at the peak of the market. Mortgage rates are now above seven percent, which has dramatically reduced the purchasing power of many families.
According to the National Association of Realtors, the median existing home price is at another record high, which is above $400,000. This amount is unattainable for many people, especially when the increased mortgage rates are taken into account. A mortgage payment for an average home is now nearly 80% higher than it was a few years ago. This is due to several events that happened in recent years and were initiated during the Trump administration. Firstly, his tariffs on imported lumber and steel from Canada increased the prices of construction materials, thereby reducing the housing supply. In addition, political and military conflicts in the Middle East tend to increase energy prices, and Trump continued Iran’s economic sanctions. As a result, inflation rates remain high since the Federal Reserve keeps interest rates high. Trump’s tax cuts and deregulation drive the bond yields up and cause mortgage rates to increase.
The combination of these factors has led to the current situation where housing prices are at record highs and buyers find themselves in a tough position. Donald Trump’s solution … call it fake news!
Comparing 30-year fixed mortgage rates during Biden’s administration with the rate today under Trump:
| Period | 30-year fixed mortgage rate |
|---|---|
| Biden administration — Jan. 20, 2021–Jan. 20, 2025 | Approximately 5.4% average |
| Trump today — week ending Oct. 1, 2026 | 7.28% |
For a $300,000, 30-year mortgage, principal and interest would be approximately:
- At Biden-period average of 5.4%: $1,685/month
- At today’s 7.28%: $2,046/month
- Difference: about $361 more per month today!
