Bessent says housing market has 'gotten better' in defense of Trump economy

Treasury Secretary Scott Bessent said Wednesday the housing market has improved in defense of the economy under President Trump.

“President Trump is laser-focused on the housing market, and things have gotten better. Last month, we hit a three-year low in mortgage rates. The Fed, subsequent to, I believe the appearance you were talking about, it lowered rates twice,” Bessent said in an interview on Fox News’s “America Reports.”

“The 10-year yield is down. And importantly, as maybe [Federal Housing Finance Agency Director Bill] Pulte mentioned, the spread between the Treasury bond and the mortgage rates has compressed. So, that is helpful. We saw the affordability, or the amount of income needed to buy the average house come down about 4 percent and nationally, we’re seeing rents come down,” he added.

During the 2024 presidential campaign, former President Biden’s administration was often blamed by Trump for high prices. Trump, while on the trail, slammed price increases for bacon, cereal, crackers and other items.

But in recent months, Trump has been dealing with his own issues tied to the economy and affordability. Democratic lawmakers blasted Trump last month due to comments he made on a desire to “drive housing prices up” for those that own their homes.

Trump had said during a Cabinet meeting in January that he wanted to keep homeowners “wealthy.”

“We’re not going to destroy the value of their homes so that somebody that didn’t work very hard can buy a home,” he said. “I don’t want to drive housing prices down. I want to drive housing prices up for people who own their homes. And they can be assured that’s what’s going to happen.”

The House passed a bipartisan and comprehensive housing package by a wide margin on Monday, with the package aimed at tackling the American affordability crisis and increasing homeownership.

Senators, however, are expected to make changes to the legislation.