Donald Trump Defends Rising House Prices, Saying People 'Who Didn't Work Hard' Should Not Buy

Donald Trump told Americans on Thursday he has no intention of lowering house prices. In fact, he wants them higher.

During a Cabinet meeting at the White House, the president dismissed calls for housing affordability relief and took aim at those who cannot get on the property ladder. 'People that own their homes, we're going to keep them wealthy,' Trump said. 'We're going to keep those prices up. We're not going to destroy the value of their homes so that somebody who didn't work very hard can buy a home.'

The remarks landed like a grenade in a country where three-quarters of households are already priced out of buying a median-cost home.

A Sharp Turn From His Own Promises

Just weeks earlier, Trump had struck a different tone. He announced plans to ban Wall Street investors from snapping up single-family homes and ordered Fannie Mae and Freddie Mac to purchase $200 billion (£162 billion) in mortgage bonds. The goal, he said then, was to push mortgage rates and monthly payments down, according to PBS News.

On Thursday, he changed course.

'There's so much talk about, oh, we're going to drive housing prices down,' 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.'

Trump added that lower interest rates would make it easier for buyers to enter the market without cutting into existing owners' equity. His pick to replace Federal Reserve chair Jerome Powell, whose term ends in May, would help bring rates down. 'Lower interest rates keep the values up for the people who have housing and let other people buy housing,' he said.

Democrats Fire Back

Congressional Democrats did not let the comments slide. Senator Tammy Duckworth of Illinois posted on X: 'Are you trying to buy your first home? Trump wants your prices to go up. But sure, Donald, keep saying affordability is a hoax,' The Hill reported.

Senate Minority Leader Chuck Schumer accused Trump of abandoning young Americans entirely. 'Trump's number one priority has been to make the wealthy, wealthier,' Schumer wrote. 'He's giving the middle finger to our youngest generation.'

Representative Suzan DelBene of Washington piled on: 'Millions of families are struggling to afford a roof over their heads, and Trump's response is to increase the price of housing.'

The Numbers Tell a Brutal Story

The median American home now costs $433,000 (£351,000), a record set in November 2025, according to Redfin. Over the past five years, prices have jumped 54 per cent. Wages rose just 29 per cent in the same period.

The National Association of Home Builders reported in March that nearly 75 per cent of households cannot afford a median-priced new home. The typical first-time buyer is now 40 years old. Five years ago, that figure was 33.

Morgan Stanley analysts warned this month that Trump's housing measures would be only 'modestly helpful' and would not unlock enough supply to meaningfully improve affordability.

At the Cabinet meeting, Housing and Urban Development Secretary Scott Turner offered a sunnier picture, pointing to stronger December home sales. True enough, the National Association of Realtors recorded 4.35 million units sold at a seasonally adjusted annual rate that month. But pending sales dropped 3 per cent year over year. The uptick may not stick.

Critics online warned the president's comments could cost Republicans dearly with younger voters. 'Just nuking the Gen-Z/Millennial vote for Republicans from orbit,' wrote polling analyst Polling USA on X, HuffPost noted.

The White House has not explained how rising home values fit with its stated goal of making life more affordable for working families.