Nevada
Gov.
Joe
Lombardo
(R)
has
submitted
a
letter
to
President

Joe
Biden,
urging
him
to
decrease
federal
spending
and
to
take
action
on
affordable
housing
issues.

“A
particularly
acute
concern
to
Nevadans
is
the
housing
market,
which
is
reeling
from
the
combined
effects
of
high
inflation
and
interest
rates,”
Lombardo
said
in
the
letter
dated
April
11.
“Nevadans
need
more
accessible
housing,
but
the
rising
costs
of
materials
and
labor
and
high
interest
rates
are
creating
a
barrier
for
Nevadans
to
achieve
their
dream
of
owning
a
home.”

Lombardo
cited
data
from
the

Federal
Reserve
Bank
of
St.
Louis
that
compares
the
median
home
price
in
Nevada
at
the
time
Biden
took
office
($342,995)
to
the
figure
as
of
January
2024
($460,000),
and
illustrated
increases
in
monthly
payment
obligations
for


Federal
Housing
Administration
(FHA)
borrowers.

“Utilizing
a
3.5%
down
payment
through
a
[FHA]
loan
(principal/interest
only)
in
January
2021,
the
monthly
payment
on
a
median
home
would
have
been
$1,363.00
at
the
market
interest
rate
of
2.82%,”
Gov.
Lombardo
said
in

his
letter.
“Today,
that
same
median
home
would
be
$2,808.00
per
month
at
the
market
interest
rate
of
6.51%
—
which
is
over
double
the
monthly
cost
to
Nevada
families.”

Combating
the
increase
in
housing
costs
requires
“swift
action,”
and
Lombardo
noted
that
in
a
prior
letter
to
the
president
he
requested
that
Biden
“make
more
federal
lands
available
for
housing
development,
so
that
Nevada
can
increase
its
inventory
and
address
shortages
to
ultimately
drive
down
costs,”
he
said.

But
Biden
has
recently
given
voice
to
concerns
he
and
others
have
about
the
national
housing
market,
including
in
states
like
Nevada.
Last
month,
Biden

gave
a
speech
in

Las
Vegas
where
he
reiterated
elements
of
his
housing
plan
that
were
first
detailed
in
the
March
7
State
of
the
Union
address.

These
include
a
first-time
homebuyer
tax
credit
that
would
offer
qualifying
beneficiaries
$400
a
month
for
two
years,
adding
that
this
would
serve
to
have
the
effect
of
lowering
their
mortgage
rate
by
roughly
1.5%.

While
not
specifically
mentioning
a
provision
to
turn
over
federal
lands
for
housing
development,
Biden
did
say
that
the
White
House
had
“cut
red
tape
so
more
builders
can
get
federal
financing
for
their
new
projects”
in
a
move
designed
to
assist
states’
congressional
delegations
to
take
action
on
housing
issues.

“A
record
1.7
million
new
housing
units
are
under
construction
nationwide
right
now
because
of
it.
In
fact,
today,
my
administration
reported
that
single-family
housing
starts
are
at
the
highest
level
they’ve
been
in
nearly
two
years,
and
my
new
plan
would
create
2
million
affordable
homes
—
including
tens
of
thousands
right
here
in
Nevada,”
Biden
said.

Housing
has
become

a
key
issue
for
many
voters
headed
into
the
fall
election
cycle,
where
both
houses
of
Congress
and
the
White
House
are
up
for
grabs.
The
Biden
administration
first
telegraphed
housing
as
a
key
issue
in
a
briefing
prior
to
the
State
of
the
Union
speech,
and
Republicans
have
largely
focused
on
inflation’s
impact
on
the
housing
market
to

rebut
the
president’s
proposals.

While
there
are
some
indications
of

bipartisan
cooperation
on
housing
issues
despite
fundamental
disagreements
on
other
hot-button
issues,
Congress
is
historically
divided.
The
leadership
in
the


House
of
Representatives
is
facing
a
new,

looming
challenge,
compounding
issues
that
stem
from
the
narrow
divide
between
the
parties
in
the
chamber.

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