In a recent development, the U.S. President Joe Biden’s administration is set to announce a 10% cap on yearly rent increases for certain affordable housing units subsidized by the federal government. This move aims to restrict rent hikes by property owners participating in a tax credit program for low-income housing, according to a senior administration official.
The announcement of these new regulations is expected to take place on Monday, as confirmed by the official. The U.S. Department of Housing and Urban Development has not yet responded to requests for comments on this matter.
High rents and mortgage interest rates have been a significant concern for voters, impacting their perception of the economy. In light of this, President Biden, a Democrat, intends to highlight his administration’s efforts to make housing more affordable as he gears up for re-election against Republican former President Donald Trump.
President Trump has been critical of Biden’s economic policies, attributing them to inflation across various sectors of the economy. The White House has urged Congress to support investments aimed at lowering housing costs, acknowledging the potential impact on Biden’s re-election prospects. While major legislation is unlikely to pass in an election year, the president’s focus on this issue underscores its importance in the upcoming elections.
