President Joe Biden has announced a new plan to halt rent increases in the US, as Americans battle soaring housing prices.

Mr Biden's proposal - which requires congressional approval - would cut off tax credits for landlords who try to raise rent by more than 5%.

The policy would apply to landlords who own more than 50 units, comprising about 20 million rental units across the country, according to the Biden administration.

Mr Biden said he hoped this plan would send a "clear message to corporate landlords".

"Rent is too high and buying a home is out of reach for too many working families and young Americans, after decades of failure to build enough homes," the president said in a statement. "I’m determined to turn that around."

The proposal does include an exception for new construction and buildings undergoing substantive renovations. As the US faces low housing stock, this carve out is aimed at encouraging new rental property construction to increase the number of apartments and homes available.

The announcement comes as Mr Biden is set to make a campaign stop in Las Vegas, Nevada, while Republicans gather in Milwaukee, Wisconsin for the party's national convention.

His proposal faces an uphill battle for approval in Congress, with administration officials reportedly acknowledging the president would have to focus on fighting for the housing plan during a second term.

The plan is aimed at stopping corporate landlords who are seeking to take advantage of the US housing shortage by raising rents at a higher rate than their own costs have increased, Mr Biden said.

Nationwide, rent prices have risen by 21% since January 2021, according to data from the Federal Reserve Bank of St Louis.

Home prices are on the rise, too.

In early 2024, home prices hit an all-time record, rising 6.4% from February 2023 to 2024, according to a new report from the Harvard Joint Center for Housing Studies.

Mr Biden's plan to lower housing costs come as recent polls show he is trailing his rival, former President Donald Trump, in the 2024 presidential race.

Surveys show the economy is top of mind for voters in the 2024 election, with rising housing costs and ongoing inflation pressures among the top concerns.

As a part of his housing announcement, Mr Biden said he would also direct federal agencies to assess whether public land could be repurposed to build affordable housing options.

In Nevada, where Mr Biden is set to speak on Tuesday, the federal government is looking at 562 acres of public land in the Las Vegas Valley that could be used for affordable housing, according to a White House fact sheet.