White House press secretary Jen Psaki said that rising prices are good for some families during a press briefing Tuesday when asked a question about housing costs.
“First let me say for some middle-class families, some … their home is their primary source of wealth,” Psaki said in response to a question from Bloomberg’s Jennifer Epstein. “The financial effects that some are feeling are positive.”
Epstein asked if the administration has any “concerns about what it’s seeing in the housing market … both in the new homes and in the bidding war environment for a lot of existing homes.” Epstein referenced rising prices of input goods like lumber and metals since President Joe Biden took office. (RELATED: Biden Walks Away From Question About Rising Prices For Americans)
“That said, the increase in housing prices we’ve seen does bring concerns for us about housing affordability,” Psaki added. “We recognize that … restarting the economy is going to produce some bumps.”
Inflation has ticked upward during the Biden administration, leading to higher prices on consumer goods like groceries, as well as gas and housing. Psaki touted the administration’s proposed Neighborhood Homes Tax Credit, which would renovate 500,000 single-family homes in low-income neighborhoods, as a way to increase housing supply. (RELATED: Bank Of America, Warren Buffett Celebrate Surging Corporate Profits As Consumer Prices Soar)
Some economists have warned that Biden’s big spending will lead to even more inflation. Since January, consumer goods costs have grown twice as fast as wages.