President Donald Trump is mulling a bold move to tackle soaring housing costs. Treasury Secretary Scott Bessent revealed this potential game-changer in a Monday interview with the Washington Examiner. If enacted, it would mark the first such emergency since the 2008 housing crash.
Newsmax reported that Trump’s administration is eyeing a national housing emergency to address skyrocketing prices and tight supply, positioning affordability as a cornerstone for the Republican 2026 midterm platform.
Bessent’s comments signal a proactive stance, contrasting with the left’s penchant for bloated, top-down solutions. This move could resonate with hardworking Americans squeezed by unaffordable homes.
The 2008 crisis, triggered by reckless lending and a credit bubble, left scars still felt today. Easy money, shaky underwriting, and risky mortgage securities fueled a collapse that obliterated jobs and wealth. Trump’s team seems determined to avoid repeating that progressive-era mismanagement.
Back in 2008, adjustable-rate and subprime mortgages imploded as interest rates climbed. Foreclosures surged, home values tanked, and global markets buckled under the weight of misrated securities. It was a masterclass in what happens when government meddling distorts markets.
Trump’s response today avoids heavy-handed overreach. His team is exploring practical fixes like standardized zoning, lower closing costs, and tariff exemptions for building materials. These ideas respect local control, unlike the one-size-fits-all mandates progressives often push.
Bessent, speaking to the Washington Examiner, predicted a “big economic pickup in 2026.” His optimism suggests confidence in Trump’s strategy to boost housing without suffocating state autonomy. The left’s reflex to centralize power finds no echo here.
Trump’s focus on affordability extends beyond housing. The recently signed One Big Beautiful Bill Act includes a “No Tax on Tips” provision, easing burdens on service workers. Housing relief, as another pillar, shows Trump’s knack for addressing kitchen-table issues.
In August 2025, Trump aimed at Federal Reserve Chair Jerome Powell, posting on Truth Social, “Could somebody please inform Jerome ‘Too Late’ Powell that he is hurting the Housing Industry, very badly?”
He’s not wrong—Powell’s reluctance to cut rates keeps mortgages out of reach for many. The jab underscores Trump’s urgency to act.
“People can’t get a Mortgage because of him,” Trump added, slamming Powell’s inaction. With no significant inflation, Trump sees room for rate cuts to ease housing pressures. It’s a sharp contrast to the Fed’s often tone-deaf policies.
A national housing emergency under the 1976 National Emergencies Act could unlock significant tools. Trump could direct HUD and FEMA to expand aid, issue eviction moratoriums, or repurpose federal land for shelters. The Defense Production Act might also prioritize construction materials, speeding up supply.
The Stafford Act could further fund temporary housing, rentals, or repairs. Yet, Trump’s authority has limits—seizing private homes or imposing nationwide rent controls requires Congressional approval.
The Supreme Court’s 2021 ruling against Biden’s eviction moratorium proves courts won’t rubber-stamp overreach. Trump has declared nine emergencies since taking office, tackling issues from immigration to violent crime in Washington.
This housing emergency would be his tenth, signaling a pattern of decisive action. Critics might call it showmanship, but supporters see a leader unafraid to confront crises.
Bessent’s full interview transcript, due September 2, 2025, may clarify the administration’s next steps.
For now, the plan avoids the heavy federal footprint progressives crave, focusing instead on streamlining costs and regulations. It’s a pragmatic approach that respects American federalism.
The 2008 crisis taught us that unchecked government intervention often backfires. TARP, near-zero rates, and Dodd-Frank reforms didn’t fully heal the wounds of that era’s excesses. Trump’s team seems intent on learning from those mistakes, not repeating them.
