Rep. Tom McClintock, R-Calif., said Thursday that Congress should eliminate housing subsidies and grants from a bipartisan housing package, arguing that government intervention, rather than a lack of federal spending, is the primary cause of the nation's housing affordability crisis.

Appearing on Newsmax's "Wake Up America," McClintock criticized the housing legislation, which recently passed Congress but remains pending before President Donald Trump, saying it relies too heavily on federal subsidies that ultimately raise housing prices rather than making homes more affordable.

"Stop all of the subsidies," McClintock said. "That thing is chock full with subsidies and grants. All those do is force up the price of housing for everybody while hiding it for those that are lucky enough to qualify for the subsidies."

The California Republican said policymakers should instead focus on reducing government regulations that he believes have constrained housing construction for decades.

"You know, Ronald Reagan was right," McClintock said. "Government is not the solution to this problem. Government is the problem."

McClintock argued that previous generations of builders were able to construct homes across a range of price points before governments imposed additional requirements on development.

"For years, builders could build all levels of the market. We had affordable housing at every income level," he said. "And then government started adding all of these restrictions and mandates and subsidies. And the result is that housing is unaffordable for most people, particularly in blue states like mine in California, because they've turned an abundant resource, housing, into something that's very scarce."

To illustrate the contrast, McClintock compared homebuilding activity and housing prices in California with Texas.

"There were more building permits issued in Dallas and Houston last year than were issued in all of California combined," he said. "The median price of a home in Texas is about $360,000. In California, it's $910,000."

Housing affordability has emerged as one of the country's most significant economic concerns, with elevated mortgage rates, limited housing inventory, and rising construction costs combining to push homeownership further out of reach for many Americans.

Economists generally point to a combination of restrictive zoning laws, labor shortages, material costs, demographic demand, and financing conditions as factors contributing to the shortage of affordable housing, though lawmakers remain divided over the appropriate federal response.

McClintock made the remarks after discussing stalled Republican legislative priorities in the House, where Speaker Mike Johnson, R-La., delayed further action after Republicans failed to adopt a procedural rule needed to advance several measures.

McClintock said Johnson is working to include the SAVE America Act in a budget reconciliation package, allowing it to pass the Senate with a simple majority.

"The speaker is working to put the SAVE America Act in the reconciliation bill," McClintock said. "That will only require a majority vote in the Senate. The Democrats can't block it as long as Republicans stand firm."

He blamed Republican opposition for delaying progress.

"The problem is, the rule that accomplishes that was voted down, including 14 Republican members," McClintock said. "And I think folks need to be asking them, what in the world are you thinking?"

The House is expected to resume legislative business after the Independence Day recess, when Republican leaders are expected to continue efforts to advance both the reconciliation package and other priorities, including housing legislation that has divided conservatives over the federal government's role in addressing affordability.

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