Yellen announces new steps to reduce housing costs

US Treasury Secretary Janet Yellen announced that an additional $100 million program will be established over the next three years to support affordable housing financing. In a statement she made in Minneapolis, Yellen announced new financing sources aimed at increasing housing supply and reducing costs. Drawing attention to the fact that they have been facing a significant housing supply deficit for a long time, Yellen stated that this has led to an affordability problem. Referring to their efforts to increase housing supply in order to reduce costs nationwide, Yellen called on the US Congress, states, and local governments to take more action. Stating that housing prices have doubled from 2000 to 2019 and increased faster than median incomes despite the global financial crisis, Yellen emphasized that high housing costs affect a large segment of Americans nationwide. Stating that an additional $100 million program will be established over the next three years to support affordable housing financing, Yellen explained that the new program will primarily focus on increasing the supply of affordable housing in the country. Secretary Yellen also called on federal mortgage lenders to increase their spending on housing programs.