One thing Redfin's CEO would like to hear Harris, Trump address

Vice President Kamala Harris is pitching a $25,000 down payment tax credit for first-time homebuyers on the campaign trail.

Redfin CEO Glenn Kelman (RDFN) says what he likes about the plan is that it was paired with an initiative to build more homes. But what he really would like to hear from the 2024 candidates is a plan to address federal lending standards. "We have made it so hard to get credit for affordable homes that builders have stopped building affordable homes," Kelman argues, adding that builders are building higher-end homes for those who qualify for loans and that those homes that are being built at the lower-end tend to be for rentals.

"If you really wanted to make a big change, change the lending standards and the supply would come through to match that," he told Yahoo Finance.

Be sure to watch the full interview with Redfin CEO Glenn Kelman.

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This post was written by Stephanie Mikulich.

Video Transcript

Kamala Harris certainly made headlines when she uh talked about this $25,000 tax credit, Glenn to cover um the the down payment costs for first time home buyers.

What did you make of that idea, Glenn Smart, smart strategy.

Well, what I liked about it is that was paired with this initiative to build 3 million homes.

If you stimulate supply without stimulating demand, you're just gonna cause home prices to rise.

So that, that subsidy is netted out.

I just wish that either candidate Harris or Trump would also talk about federal lending standards.

I know that in 2007 we were doing liar loans and Strawberry Pickers were buying mcmansions in central California.

But still we have made it so hard to get credit for affordable homes that builders have stopped building affordable homes.

Almost all the construction is in the high end because that's where people can qualify for a loan or when it's at the low end, it's all for rent.

But if you really wanted to make a big change, change the lending standards and the supply would come through to match that