Former President Donald Trump, a Republican candidate for the 2024 presidential election, has sparked controversy with his latest policy proposal: a ban on undocumented immigrants obtaining home mortgages. He announced this plan during a speech at the Economic Club of New York, arguing that it would help curb rising home prices. Trump claims that the influx of undocumented immigrants has driven up housing costs, citing the presence of 21 million undocumented individuals in the country. However, data from the Urban Institute shows that undocumented immigrants account for a minuscule portion of home sales, with only 5,000 to 6,000 mortgages issued to them last year. In contrast, over 3.4 million mortgages were issued to all home buyers in 2023. While housing affordability remains a critical concern for voters, particularly amid rising home prices and mortgage rates, experts and advocates argue that Trump’s proposal would have a negligible impact on this issue. Gary Acosta, CEO of the National Association of Hispanic Real Estate Professionals, criticizes the proposal as another attempt to vilify and scapegoat immigrants for broader societal problems. This announcement comes at a time of significant changes in the U.S. immigration landscape. President Biden has introduced a policy offering a path to citizenship for undocumented spouses of American citizens. California has proposed a plan to provide taxpayer-funded assistance for home purchases to undocumented immigrants. Trump’s proposal aligns with his broader agenda to reduce federal spending. He has also proposed establishing a government efficiency commission headed by Elon Musk to streamline federal operations and cut costs. However, critics like economist Paul Krugman have voiced concerns about potential risks to essential programs like Medicare and Social Security. In contrast to Trump’s approach, Democratic presidential nominee Kamala Harris has proposed providing first-time homebuyers with $25,000 in down payment assistance to address rising homeownership costs. While Trump’s proposal has ignited debate, it is unlikely to significantly impact housing affordability in the short term. The focus remains on addressing the multifaceted challenges of housing affordability, with differing approaches proposed by both Republican and Democratic candidates.
