SUPPLY SHORTFALL

President Trump recently signed an executive order directing federal agencies to reduce homeownership costs. It includes proactive mortgage insurance cancellation once equity requirements are met, making permanent a title-insurance waiver program for certain refinancings, and having Agriculture and Veterans Affairs lower rates on their direct single-family loan programs. While well-meaning and possibly great, these policies all boost housing demand. Absent added housing supply, that will most assuredly raise house prices.