Presidential candidate Robert F. Kennedy Jr. recently took aim at the role of investment firms in driving up housing costs. He stated that their influence has priced many young Americans out of homeownership.
In one of his recent videos, Kennedy pushed back on notions that laziness causes millennials to struggle with rent and mortgages. Instead, he pointed to data showing the dramatic rise in housing expenses.
Over the last year alone, average monthly mortgage payments for homebuyers have spiked by 20%, Kennedy noted. Interest rates have doubled along with home prices, which have surged from $250,000 in 2019 to over $400,000 today.
Meanwhile, average renters now spend almost a third of their income on housing, among the highest rates ever, Kennedy said.
He argued that this affordability crisis stems largely from investment firms like BlackRock, Vanguard, and State Street. Kennedy highlighted that these giants are going into real estate. He also mentioned that these firms scoop up homes when they come on the market. Kennedy also stated that they add these homes to their portfolio and rent them back to the people at an exorbitant rate.
Kennedy mentioned in his video that BlackRock and other corporations want to be everyone’s landlord and everybody’s neighbor. However, he stated that he was not going to let that happen. Kennedy also pointed out that he will restore affordable home ownership to every American. He also highlighted that he would do it without raising the national debt.
Also read: Robert F. Kennedy Jr. Warns BlackRock’s Plan to Gain Single-Family US Homes
Kennedy shares his federal program
As a solution to this possible monopoly, Kennedy shared his plan to create a federal program. This program will back mortgages at 3% and be financed by tax-free bonds. He also pointed out that this program is for people only, not corporations.
Kennedy noted that this could drop the mortgage payments by more than $1,000. He stated that it is a loan guarantee that makes it affordable to millions of Americans who can’t afford it now. He also mentioned that this is just one of the policies that the Kennedy administration plans to deploy.