Real estate and private equity investor Grant Cordone believes former President Donald Trump can resolve the crisis in the US housing market if he wins the November election.
In an interview on "Varney & Co." Cordone said Trump has the knowledge and the ability to relieve the pressures in blue cities, which are currently suffering from "insanity" caused by high rental prices and taxes.
"He'll bring rates down. If you don't bring rates down, we have a housing market that will not move. We're already at all-time lows all the way back to 1995," he said in the interview.
When asked how he believes Trump will resolve the crisis, the real estate expert said the former president will likely pressure the Federal Reserve to have the "lowest interest rate in the world," adding that the United States has the best economy out of all countries.
Cordone's Comment on Kamala Harris' Plan
In her campaign trail, Vice President Kamala Harris touted a plan to launch an initiative that grants first-time home buyers up to $25,000 in down payment assistance. That plan could assist more than four million first-generation homebuyers.
In addition, Harris also proposed an initiative that aims to build three million new housing units in the US, with hopes that the influx of properties could alleviate the shortage in the market and, in turn, lower home prices.
READ ALSO: US Renters Think Kamala Harris Could Improve Housing Affordability Better Than Donald Trump
In response to those initiatives, Cordone said there are at least two million homes for sale in the US that are sitting on the market because buyers "can't quality for the mortgage." He also claimed there would unlikely be any movement in the housing market until mortgage rates hit 4%.
For perspective, the contract rate for the 30-year term is currently 6.54%, according to Freddie Mac.
Has Trump Proposed Initiatives To Resolve the Housing Crisis?
Trump has not rolled out any formal housing proposal. However, he promised to make homes in the US more affordable and make some federal land available for large-scale construction of housing units.
Furthermore, Trump suggested creating tax incentives to encourage homeownership and support first-time buyers, CNN reported. He has not given specific details on these incentives.
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