Big Government Meddles in Housing Once Again. It’s Insane!
Big Government Meddles in Housing Once Again. It’s Insane!
The unofficial definition of insanity is doing the same thing over and over again, but expecting different results. Nothing demonstrates this idea better than the Democratic wet-dream of Housing Equity. And today, Biden demonstrates this insanity once again in his race pandering, virtue signaling, white-guilt laced agenda to “close the racial wealth gap.”
Look, I get it, there is a very real statistic out there that shows that White Americans enjoy home ownership at a rate of 65.8% as opposed to 45.1% for Black Americans. I think if you went around a room of 100 people, equally divided by Republicans and Democrats, almost everyone would agree that it would be awesome if more minorities owned a house.
When people own a home as opposed to renting, there are untold benefits to the owners and the communities themselves. Home-owners have a sense of accomplishment and pride. Home-owners feel they have a greater stake in the political process. Home-owners start paying more attention to where there property tax money is being spent in the community. Home-owners begin to demand better educational outcomes from their local school systems. I know, I’ve been selling homes to minority families for over 14 years across such diverse demographic areas as Los Angeles, Atlanta, and now Austin. I’ve been in the Housing Industry for more than 20. I’m not a Realtor, I currently work for a one of the largest home-builders in the country; long before that, I was in property management for big outfits in both Texas and California.
When I see politicians talk about racial inequity in home-ownership I seriously begin to hyperventilate a little. What the hell do these A-holes know about how the market really works? Anyone who knows anything about the housing world knows that avoiding any whiff of discrimination is paramount to almost any decision we make. When I was renting apartments, I underwent annual training to make sure I knew how NOT to discriminate against POC:
Now that I am in New Home Sales, the same sort of annual training is done regarding home sales:
Of course, that last one, yep – that last line above is the one the New Left goes for every time. This is where the circular definition of insanity creeps in over and over again! ‘Cause that’s the one they say create the new “silent discrimination” policies they need to address. Because this ultimately has nothing to do with equal opportunity for home ownership, this is about EQUITY. And as a refresher course for those not paying attention, equity is about equal outcomes NOT equal opportunities. From today’s White House Fact Sheet, let’s take a quick look at what Biden intends to do with his new plans:
A. Expand the housing choice voucher program
B. Require states receiving government money to plan for affordable housing units
C. Reinstate an Obama-era rule requiring communities to create a plan to mitigate discriminatory housing practices
“Biden’s plans earmark billions of dollars to provide fair and affordable housing for middle-class families and the poorest Americans. All in all, Biden’s housing policy proposals would cost $640 billion over 10 years, although he has not detailed where any of this funding would come from.
This is back door reparations guys. This is taking tax payer dollars and using discriminatory policies to re-allocate them to fund programs for minorities, but more specifically for Black Americans. All under the guise of leveling the playing field toward home-ownership. And it is a guise…because what Progressives want, what they really, really want is an end to suburbia as a whole. It’s RACIST! But Biden and Harris and Pelosi and Schumer know they can’t just take over the zoning laws (though they sure are trying!) Instead, they will talk about equity.
I know it seems like forever ago at this point, but do you remember what happened the last time the Federal Government stuck their finger into the housing market? Let’s talk about insanity! We had an economic melt-down in the financial industry! There was that crazy little thing called the Housing Bubble that expanded and expanded like all bubbles do until one day it just popped. And why did that happen? Because Presidents from Roosevelt, Carter, Reagan, Clinton, Bush and Obama kept pushing in all sorts of big and small ways to make sure people bought a house. Whether it was the creation of Fannie and Freddie Mac, Community Reinvestment Act of 1977, Clinton pushing HUD to lower rules for down payments, to Bush pushing for 55% of HUD loans to be for “marginalized” communities – every President of every political stripe wants to be the hero that gets minorities on equal footing with the big, bad, white man.
So here’s Biden, trotting off to Tulsa, OK to virtue signal not to the Black Community, not really, this is for all the Little Miss Karen’s of the world who feel bad in their pretty little houses. Watch him pander:
But it’s all pure theater. Because the mere ability to buy the damn house doesn’t mean you will be able to afford the damn thing year after year. So when government interferes in the market place to make home ownership more accessible and less ‘discriminatory’ they are only looking for the short term statistical number they can use from one quarter to the next, or one year over the next. I keep seeing reports, like one in Vox, that talk about how home-ownership has declined from 2001, and even in Biden’s address in Tulsa, he specifically stated that Black American home ownership is lower today than it was when the Fair Housing Act was created over 50 years ago. But if you actually dig into the numbers from 2017 to today, Black American home ownership has actually increased at a FASTER pace than White Americans. 2.6% to 2% respectively. But that doesn’t fit the narrative, so they go back to 2001 so they can incorporate the losses of home ownership during the 2008 housing crisis, which affected every demographic.
I'm glad Biden is talking about the racial wealth gap, but to be clear, no amount of Black home-ownership or Black-owned businesses will close the gap. Cancel student debt, protect workers, tax wealth.— Brian Kennedy II (@BrianEKennedy2) June 1, 2021
More capitalism is never the answer.https://t.co/vgMVSPyl1Q
For the 14 years that I have been in the Big Builder business of selling homes, we have been desperately trying to figure out ways to target the younger market (specifically Millennials) and minority groups. Why? Because that’s where the money is. So seriously, Capitalism IS the answer to getting people of color into the world of home-ownership. If there wasn’t money to be made in this sector, there wouldn’t be houses for anyone to buy dumb ass. These people are spending their money on apartments and we want them to spend that money with us.
Is that selfish corporate interest? Maybe, but what I have seen in the last few years specifically is a wonderful world of young people buying homes. I see minority women coming in with their families and they are the first in their whole family line to buy a home. Last week I was moved by the story from a Cuban man who finally got his citizenship after 5-years in America and wants nothing more than to buy a home for himself, his wife and his 3 year old daughter.
Almost to a person, I ask them “Why now?” “What made you come into my office today looking to buy a home?” And the answer is almost always “I’m tired of paying rent” and/or “The interests rates made it impossible to deny how this would be better for my family.” So if The Government really wanted to help underserved communities into home ownership, quit trying to make it about quotas and equity. Instead, get rid of Fannie Mae and Freddie Mac and work on monetary policy that helps keep interests rates attractive to first time home-buyers.
So quit telling the lie that home ownership is hard to come by because of some racial injustice. It just isn’t true. The neighborhood I sell in today has 13 different floorplans specifically designed to meet the needs of lower income folks. In a city with the median home price at $370K and going up every week, I have homes for $100K to $150K less, just 11 miles from the city center. Every day, I am literally building a neighborhood as diverse as you could imagine… no thanks to Biden.
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Feature Photo Credit: House in hands by thinkpanama via Creative Commons, cropped and modified