Housing prices have hit a 30-year high, but don't expect Congress to help anytime soon

Last year, Americans could buy a house or rent relatively cheaply due to rock-bottom interest rates and pandemic-era deals meant to fill empty apartments. But that was only a brief reprieve from a housing market crisis brewing in the US for decades. 

Soaring housing and rent prices made up a large portion of the increases in the latest inflation report released on Tuesday. Data from the Bureau of Labor Statistics shows that housing costs increased 0.7% in August after rising 0.5% the month prior. Americans are now paying 6.2% more for shelter than they did just one year ago.

Meanwhile, interest rate hikes have pushed mortgage rates to levels not seen since the housing crash of  2008 — and more hikes could be around the corner.

While Biden and Democrats have landed recent wins on student debt forgiveness, climate, and healthcare, Congress isn't likely to provide relief on housing anytime soon. A growing to-do list has forced lawmakers to neglect housing affordability as a top issue.