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Inflation in home prices is perhaps the single biggest reason swing voters are shifting toward the Democrats. With midterms just months away, Republicans need to take the initiative against one of the true culprits: private equity. Donald Trump has announced a brilliant plan to ban these firms from buying single-family homes, a move that is vital for making housing affordable again for Gen Z. As Trump correctly observed, “People live in homes, not corporations.”
For too long, private equity managers have enjoyed unfair tax advantages that disadvantage working young adults. They pay lower capital gains rates on their income and utilize depreciation deductions, tools unavailable to private homeowners. This allows private equity to act like sharks, swooping in with all-cash offers to outbid young couples who are often already struggling with debt.
Critics of this move will often cite a misleading statistic that institutional investors own only 3% of homes nationwide. However, this figure ignores the reality in key job markets. In cities highly sought after by Gen Z, such as Atlanta, Charlotte, Dallas, and Tampa, mega-investors control up to 27% of single-family rentals. The impact of Trump’s announcement was immediate: the stock value of Blackstone, a trillion-dollar asset manager, dropped over 9%, proving just how heavily these firms rely on exploiting the housing market.
We see this same predatory pattern in healthcare. Private equity firms have bought up hundreds of oncology practices, leading to a 5.3% increase in charges for office visits and a shocking 50% increase in radiation therapy spending. They are monopolizing essential services to extract maximum profit.
Affordability is an existential issue for the Republican Party. Unaffordability drives Gen Z to vote for Democrats—sometimes by margins of 75%, as seen in recent New York elections.
Teddy Roosevelt once rejuvenated a declining GOP by taking on the powerful monopolies of his time to champion the common man. Today, Trump is following in those footsteps. To win the future, Republicans must support Trump’s fight against these financial predators and restore the American Dream of homeownership for the next generation.
You, too, can join this fight! Arm yourself with the facts from sources like the Phyllis Schlafly Report – find this full column and others like it at PhyllisSchlafly.com today and sign up to get notified when they come out! Again, that’s Phyllis Schlafly.com. Join us tomorrow for the Phyllis Schlafly Report.
