affordability

DES MOINES, Iowa — President Trump is headed to Iowa on Tuesday as part of the White House’s midterm year pivot toward affordability, even as his administration remains mired in the fallout in Minneapolis over a second fatal shooting by federal immigration officers this month.

While in Iowa, the Republican president will make a stop at a local business and then deliver a speech on affordability, White House press secretary Karoline Leavitt said. The remarks will be at the Horizon Events Center in Clive, a suburb of Des Moines.

The trip is expected to also highlight energy policy, White House chief of staff Susie Wiles said last week. It’s part of the White House’s strategy to have Trump travel out of Washington once a week ahead of the midterm elections to focus on affordability issues facing everyday Americans — an effort that keeps getting diverted by crisis.

The latest comes as the Trump administration is grappling with the weekend shooting death of Alex Pretti, an ICU nurse killed by federal agents in the neighboring state of Minnesota. Pretti had participated in protests following the Jan. 7 killing of Renee Good by an Immigration and Customs Enforcement officer. Even as some top administration officials moved quickly to malign Pretti, the White House said Monday that Trump was waiting until an investigation into the shooting was complete.

Trump calls Pretti killing ‘sad situation’

As Trump left the White House on Tuesday to head to Iowa, he was repeatedly questioned by reporters about Pretti’s killing. Trump disputed language used by his own deputy chief of staff, Stephen Miller, who on social media described Pretti as an “assassin” who “tried to murder federal agents.” Vice President JD Vance shared the post.

Trump, when asked Tuesday if he believed Pretti was an assassin, said, “No.”

When asked if he thought Pretti’s killing was justified, Trump called it “a very sad situation” and said a “big investigation” was underway.

“I’m going to be watching over it, and I want a very honorable and honest investigation. I have to see it myself,” he said.

He also said Homeland Security Secretary Kristi Noem, who was quick to cast Pretti as a violent instigator, would not be resigning.

Republicans want to switch the subject to affordability

Trump was last in Iowa ahead of the July 4 holiday to kick off the United States’ upcoming 250th anniversary, which morphed largely into a celebration of his major spending and tax cut package hours after Congress had approved it.

Republicans are hoping that Trump’s visit to the state on Tuesday draws focus back to that tax bill, which will be a key part of their pitch as they ask voters to keep them in power in November.

“I invited President Trump back to Iowa to highlight the real progress we’ve made: delivering tax relief for working families, securing the border, and growing our economy,” Rep. Zach Nunn, R-Iowa, said in a statement in advance of his trip. “Now we’ve got to keep that momentum going and pass my affordable housing bill, deliver for Iowa’s energy producers, and bring down costs for working families.”

Trump’s affordability tour has taken him to Michigan, Pennsylvania and North Carolina as the White House tries to marshal the president’s political power to appeal to voters in key swing states.

But Trump’s penchant for going off-script has sometimes taken the focus off cost-of-living issues and his administration’s plans for how to combat it. In Mount Pocono, Pennsylvania, Trump insisted that inflation was no longer a problem and that Democrats were using the term affordability as a “hoax” to hurt him. At that event, Trump also griped that immigrants arriving to the U.S. from “filthy” countries got more attention than his pledges to fight inflation.

Competitive races in Iowa

Although it was a swing state just a little more than a decade ago, Iowa in recent years has been reliably Republican in national and statewide elections. Trump won Iowa by 13 percentage points in 2024 against Democrat Kamala Harris.

Still, two of Iowa’s four congressional districts have been among the most competitive in the country and are expected to be again in this year’s midterm elections. Trump already has endorsed Republican Reps. Nunn and Mariannette Miller-Meeks. Democrats, who landed three of Iowa’s four House seats in the 2018 midterm elections during Trump’s first term, see a prime opportunity to unseat Iowa incumbents.

This election will be the first since 1968 with open seats for both governor and U.S. senator at the top of the ticket after Republican Gov. Kim Reynolds and Republican U.S. Sen. Joni Ernst opted out of reelection bids. The political shake-ups have rippled throughout the state, with Republican Reps. Randy Feenstra and Ashley Hinson seeking new offices for governor and for U.S. senator, respectively.

Democrats hope Rob Sand, the lone Democrat in statewide office who is running for governor, will make the entire state more competitive with his appeal to moderate and conservative voters and his $13 million in cash on hand.

Kim and Fingerhut write for the Associated Press. Kim reported from Washington. AP writer Michelle L. Price in Washington contributed to this report.

WASHINGTON — Donald Trump’s promises on affordability in 2024 helped propel him to a second term in the White House.

Since then, Trump says, the problem has been solved: He now calls affordability a hoax perpetrated by Democrats. Yet the high cost of living, especially housing, continues to weigh heavily on voters, and has dragged down the president’s approval ratings.

In a poll conducted this month by the New York Times and Siena University, 58% of respondents said they disapprove of the way the president is handling the economy.

How the economy fares in the coming months will play an outsize role in determining whether the Democrats can build on their electoral success in 2025 and seize control of one or both chambers of Congress.

With housing costs so central to voters’ perceptions about the economy, both parties have put forward proposals in recent weeks targeting affordability. Here is a closer look at their competing plans for expanding housing and reining in costs:

How bad is the affordability crisis?

Nationwide, wages have barely crept up over the last decade — rising by 21.24% between 2014 and 2024, according to the Federal Reserve. Over the same period, rent and home sale prices more than doubled, and healthcare and grocery costs rose 71.5% and 37.35%, respectively, according to the Fed.

National home price-to-income ratios are at an all-time high, and coastal states like California and Hawaii are the most extreme examples.

Housing costs in California are about twice the national average, according to the state Legislative Analyst‘s Office, which said prices have increased at “historically rapid rates” in recent years. The median California home sold for $877,285 in 2024, according to the California Assn. of Realtors, compared with about $420,000 nationwide, per Federal Reserve economic data.

California needs to add 180,000 housing units annually to keep up with demand, according to the state Department of Housing. So far, California has fallen short of those goals and has just begun to see success in reducing its homeless population, which sat at 116,000 unsheltered people in 2025.

What do the polls say?

More than two-thirds of Americans surveyed in a Gallup poll last month said they felt the economy was getting worse, and 36% expressed approval for the president — the lowest total since his second term began.

The poll found that 47% of U.S. adults now describe current economic conditions as “poor,” up from 40% just a month prior and the highest since Trump took office. Just 21% said economic conditions were either “excellent” or “good,” while 31% described them as “only fair.”

An Associated Press poll found that only 16% of Republicans think Trump has helped “a lot” in fixing cost of living problems.

What have the Democrats proposed?

The party is pushing measures to expand the supply of housing, and cut down on what they call “restrictive” single-family zoning in favor of denser development.

Senate Minority Leader Chuck Schumer (D-N.Y.) said Democrats plan to “supercharge” construction through bills like California Sen. Adam Schiff’s Housing BOOM Act, which he introduced in December.

Schiff said the bill would lower prices by stimulating the development of “millions of affordable homes.” The proposal would expand low-income housing tax credits, set aside funds for rental assistance and homelessness, and provide $10 billion in housing subsidies for “middle-income” workers such as teachers, police officers and firefighters.

The measure has not been heard in committee, and faces long odds in the Republican-controlled body, though Schiff said inaction on the proposal could be used against opponents.

And the Republicans?

A group of 190 House Republicans this month unveiled a successor proposal to the “Big Beautiful Bill,” the sprawling tax and spending plan approved and signed into law by Trump in July.

The Republican Study Committee described the proposal as an affordability package aimed at lowering down payments, enacting mortgage reforms and creating more tax breaks.

Leaders of the group said it would reduce the budget deficit by $1 trillion and could pass with a simple majority.

“This blueprint … locks in President Trump’s deregulatory agenda through the only process Democrats can’t block: reconciliation,” said Rep. August Pfluger (R-Tex.), who chairs the group. “We have 11 months of guaranteed majorities. We’re not wasting a single day.”

Though the proposal has not yet been introduced as legislation, Republicans said it would include a mechanism to revoke funding from blue states over rent control and immigration policy, which they calculated would save $48 billion.

President Trump has endorsed a $200-billion mortgage bond stimulus, which he said would drive down mortgage rates and monthly payments. And the White House, which oversees Fannie Mae and Freddie Mac — the two enterprises that back most U.S. mortgages — continues to push the idea of portable and assumable mortgages.

Trump said the move would allow buyers to keep their existing mortgage rate or enable new homeowners to assume a previous owner’s mortgage.

The Department of Justice, meanwhile, has launched a criminal investigation into Federal Reserve Chair Jerome Powell over the Fed’s renovation costs, as Trump bashed him over “his never ending quest to keep interest rates high.”

The president also vowed to revoke federal funding to states over a wealth of issues such as childcare and immigration policy.

“This is not about any particular policy that they think is harmful,” Rep. Laura Friedman (D-Burbank) said. “This is about Trump’s always trying to find a way to punish blue states.”

Is there any alignment?

The two parties are cooperating on companion measures in the House and Senate.

The bipartisan ROAD to Housing Act seeks to expand housing supply by easing regulatory barriers. It passed the Senate unanimously and has support from the White House, but House Republicans have balked, and it has yet to receive a floor vote.

A bipartisan proposal — the Housing in the 21st Century Act — was approved by the House Financial Services Committee by a 50-1 vote in December. It also has yet to receive a floor vote.

The bill is similar to its twin in the Senate, with Rep. French Hill (R-Ark.) working across the aisle with Rep. Maxine Waters (D-Los Angeles). If approved, it would cut permitting times, support manufactured-housing development and expand financing tools for low-income housing developers.

There was also a recent moment of unusual alignment between the president and California Gov. Gavin Newsom, who both promised to crack down on corporate home buying.

What do the experts say?

Housing experts recoiled at GOP proposals to bar housing dollars from sanctuary jurisdictions and cities that impose rent control.

“Any conditioning on HUD funding that sets up rules that explicitly carve out blue cities is going to be really catastrophic for California’s larger urban areas,” said David Garcia, deputy director of policy at UC Berkeley’s Terner Center for Housing Innovation.

More than 35 cities in California have rent control policies, according to the California Apartment Assn. The state passed its own rent stabilization law in 2019, and lawmakers approved a California sanctuary law in 2017 that prohibits state resources from aiding federal immigration enforcement.

The agenda comes on the heels of a series of HUD spending cuts, including a 30% cap on permanent housing investments and the end of a federal emergency housing voucher program that local homelessness officials estimate would put 14,500 people on the streets.

In Los Angeles County, HUD dollars make up about 28% of homelessness funding.

“It would undermine a lot of the bipartisan efforts that are happening in the House and the Senate to move evidence-backed policy to increase housing supply and stabilize rents and home prices,” Garcia said.

The president’s mortgage directives also prompted skepticism from some experts.

“Fannie Mae and Freddie Mac were pressed to get into the riskier parts of the mortgage market back in the housing bubble and that was a part of the problem,” said Eric McGhee, a researcher at the Public Policy Institute of California.