Trump’s ‘Robin Hood in reverse’ tax bill is driving up the cost of buying a home, Democrats say

Rep. Nancy Pelosi (D-CA) speaks during a rally opposing House Republicans Tax Proposal prior to the final House Vote on Capitol Hill on May 21, 2025 in Washington, DC (Credit: Jemal Countess—Getty Images for Families Over Billionaires)

• The cost for a 30-year fixed-rate mortgage crept up to levels not seen since February, reflecting bond market fears over Trump’s plan to pay for tax cuts with an estimated $3.8 trillion in new debt. “Trump and Republicans are directly responsible for the spike in the 30-year Treasury bond yield and mortgage rates,” argued Ted Lieu, the fourth-highest-ranking Democrat in the House.

Democrats say President Trump’s proposed tax bill is responsible for pushing up the cost of owning a home as bond markets revolt against the prospect of trillions of dollars in new borrowing added on top of the national debt.