High housing costs are a serious pain point for millions of Americans, with many shut out of the real estate market by record-high home prices and others plagued by spiraling rents. During Tuesday’s vice presidential debate, Sen. JD Vance pointed to what he views as a major cause of the affordability crisis: immigration.
“[Y]ou have got housing that is totally unaffordable because we brought in millions of illegal immigrants to compete with Americans for scarce homes,” Vance said in the debate with his Democratic rival and Vice President Kamala Harris’ running mate, Minnesota Gov. Tim Walz.
Specifically, Vance pointed to “a Federal Reserve study that we’re happy to share after the debate,” which he claimed “really drills down on the connection between increased levels of migration, especially illegal immigration and higher housing prices.”
On Wednesday, Vance posted some studies and speeches on social media to back up his claim, although the Federal Reserve “study” is, in fact, a short prepared speech by a Fed official who had pointed out that the “inflow of new immigrants to some geographic areas could result in upward pressure on rents.”
A problem from sea to shining sea
While that’s far from a rigorous analysis linking immigration to higher home prices, many economists who have studied the real estate market say the factors driving up home prices are structural, such a construction downturn following the 2007-09 Great Recession…
