Biden Administration Weighs Move to Trim Mortgage Costs as Home Prices Rise

WASHINGTON—The Biden administration is weighing a move to trim mortgage costs for first-time and lower-income buyers, a bid to boost affordability when average home prices are at an all-time high.

President Biden’s affordability push has so far largely focused on steps to ease constraints on the supply of new homes, a primary driver of a rapid run-up in home prices in recent years. Steps to ease costs on certain borrowers could help modestly but more meaningful steps to address affordability are likely to come only from increased supply, housing experts said.