US: Yellen Urges Congress To Act On Biden Tax Plan To Address Housing
Shortfall

Treasury Secretary Janet Yellen will deliver a speech in Minnesota today urging
Congress to act on President Biden's tax plan:
https://www.axios.com/2024/03/11/biden-housing-tax-credit-golden-handcuffs -
which includes a new USD$100 million fund to support affordable housing
financing and bolstering the Federal Financing Bank's financing of affordable
housing to address an "affordability crunch" in the housing market.

* Yellen will say: "Inflation is also down almost two-thirds from its peak. But

  President Biden and I know that prices for key household expenses like health
  care, energy, and housing are still too high, in large part due to challenges
  that have been mounting over decades.

* "On housing, I expect that shelter inflation will moderate, and we see

  certain positive signs, such as the fact that total units under construction
  remains at a 50-year high. But we face a very significant housing supply
  shortfall that has been building for a long time. This supply crunch has led
  to an affordability crunch."

* "We need Congress to act... On housing specifically, the President has called

  on Congress to provide a tax credit for first-time homebuyers, which would
  help more than 3.5 million families purchase their first home in the next two
  years. President Biden has also focused on expanding housing supply, putting
  forward a plan to build over 2 million homes..."

* AP notes: "Sal Guatieri, a senior economist at BMO Capital Markets Economic
Research, wrote Friday that little change is expected in the housing market
"until the Fed reduces policy rates.""