Harris takes aim at Wall Street housing ownership in first economic speech

Bloomberg Information

WASHINGTON — Vice President Kamala Harris promoted insurance policies that goal to make housing extra inexpensive Friday afternoon, whereas additionally introducing a slate of proposals that assist what she dubbed the “alternative economic system.” 

“Collectively, we are going to construct what I name a possibility economic system — an economic system the place everybody can compete and have an actual probability to succeed,” she stated. “Everybody, no matter who they’re or the place they begin, has a possibility to construct wealth for themselves and their kids, and the place we take away the limitations to alternative.” 

Harris’ remarks in North Carolina complemented a flurry of coverage planks launched forward of the speech, which collectively characterize the clearest define of her views on the economic system since changing President Joe Biden because the presidential candidate for the Democratic celebration practically a month in the past. 

Total, the insurance policies deepen many initiatives already put ahead by the Biden administration, together with a give attention to antitrust and pro-labor positions. The financial insurance policies spanned a spread of markets, from a “first ever” ban on value gouging for meals, a cap on prescription drug costs and a toddler tax credit score that will give $6,000 per baby for households with newborns. 

She additionally launched a populist-centric raft of concepts round housing, together with a $25,000 subsidy for first-time residence patrons. 

In her remarks, she referenced her historical past as legal professional basic in California, and the work she did there following the 2008 monetary disaster. 

“As state legal professional basic, I drafted and helped go a house owner invoice of rights, one of many first in America,” she stated. “And throughout the foreclosures disaster, I took on the massive banks for predatory lending with a lot of my colleagues, together with [North Carolina Gov. Roy Cooper] and received $20 billion for California households after I was legal professional basic.”

She additionally took goal at Wall Road corporations that purchase single-family houses to market as rental properties. 

“Some company landlords, a few of them purchase dozens, if not tons of, of homes and residences, then they flip them round and hire them out at extraordinarily excessive costs,” she stated. “And it may make it unimaginable, then, for normal folks to have the ability to purchase, and even hire a house.” 

She additionally known as on Congress to go the Cease Predatory Investing Act, a invoice launched by Senate Banking Committee Chairman Sherrod Brown, D-Ohio, and different Democratic lawmakers. The invoice would stop an investor who acquires 50 or extra single-family rental houses from deducting curiosity or depreciation on these properties. 

Harris additionally known as on Congress to go the Stopping the Algorithmic Facilitation of Rental Housing Cartels Act, a invoice from Sens. Ron Wyden, D-Ore., chairman of the Senate Finance Committee, and Peter Welch, D-Vt., that will make it unlawful for rental property house owners to make use of corporations that coordinate rental housing costs. 

“Some company landlords collude to set artificially excessive rental costs, typically utilizing algorithms in price-fixing software program to do it,” she stated. “It is anticompetitive, and it drives up prices.”