Could Trump's Immigration Policies Make Home Prices Soar?
A signature plank of President-elect Donald Trump‘s campaign platform was building a wall along the Mexican border and cracking down on immigrants living illegally in the U.S., deporting many of them. But if those campaign promises become policies, it could prove to be a challenge for the U.S. housing market, real estate experts say.
Already, there aren’t enough homes for sale to meet the rising demand from aspiring homeowners, which is pushing home prices ever higher. Builders can’t put up new abodes fast enough—in part because there’s a national shortage of construction workers.
With an estimated 1.1 million immigrants without documentation in the construction industry, a mass deportation could make that labor shortage even more pronounced—and by extension, the housing shortage as well.
(The figure is from a National Bureau of Economic Research analysis of U.S. Census data from 2011 to 2013. There are about 8 million immigrants in the U.S. illegally overall, according to the Pew Research Center.)
“Nobody knows ultimately what Trump’s policies will be and the extent of what they will be,” says Joe Kirchner, a senior economist at realtor.com®. But if the inventory crunch gets worse, buyers could have an even harder time finding a home that fits their needs.
(The figure is from a National Bureau of Economic Research analysis of U.S. Census data from 2011 to 2013. There are about 8 million immigrants in the U.S. illegally overall, according to the Pew Research Center.)
“Nobody knows ultimately what Trump’s policies will be and the extent of what they will be,” says Joe Kirchner, a senior economist at realtor.com®. But if the inventory crunch gets worse, buyers could have an even harder time finding a home that fits their needs.