Trump’s Economy: How Americans Are Feeling About Their Finances Under a New President
Written by
Gabrielle Olya
Edited by
Molly Sullivan
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President Donald Trump ran on the promises that he would strengthen the U.S. economy, add jobs, boost paychecks and put an end to inflation. And while we’re only roughly three months into his presidency, many Americans are feeling less than confident that he will be able to deliver on these promises.
According to a Clever Real Estate survey, only 1 in 4 Americans (26%) feel better off economically now than they were in September 2024, and just one-third (34%) expect to be better off six months from now.
Here’s a closer look at how Americans are really feeling about their finances in a Trump economy.
Americans Are Bracing for a Recession
While Trump is promising an economic boom, many Americans fear a recession is on the horizon. According to the survey, the 2025 economic climate has worried Americans enough that a majority (58%) have reduced spending on nonessential items in anticipation of what’s ahead. In addition, roughly 1 in 3 Americans (31%) are saving more because of concerns about the economy.
“If consumer spending drops because people are worried about a recession, it can become a self-fulfilling prophecy,” said Nick Pisano, data writer for Clever Real Estate. “That would be a particularly troubling outcome, considering how the U.S. economy has done relatively well compared to many others post-COVID.”
Americans Fear a Housing Market Crash
The survey found that nearly three-quarters of Americans (70%) are concerned about a potential housing market crash in 2025. This is being reflected in their behaviors as well.
“Nearly 1 out of every 4 respondents (22%) who were planning to buy a home this year now say they’re putting off those plans because of economic concerns, and more than 1 in 8 (13%) of those who had considered selling a home in 2025 are now delaying,” Pisano said.
“It’s understandable that 70% are concerned about a 2025 housing market crash, with the memory of the mid-2000s housing bubble and Great Recession not that far removed, even if homeowners are generally in a much stronger position today in terms of equity and mortgage rates than in 2008.”
Americans Don’t Think Trump Is Helping To Control Inflation
The cost of living and high inflation were major issues during the presidential election, but Americans aren’t feeling optimistic that the problem will be solved by the new administration. The survey found that nearly 2 in 3 Americans (63%) don’t believe the U.S. government is doing the right things to address economic concerns, and almost three-quarters (74%) believe inflation will worsen next year.
“With that in mind, it’s not surprising that only 39% currently support President Trump’s handling of the inflation issue,” Pisano said. “Many economists expect price increases related to the administration’s new tariffs, which could lead to more serious political and economic trouble.”
Americans Aren’t Happy With the Administration’s Cost-Cutting Measures
Although roughly three-quarters of Americans (78%) favor cutting government spending in general, only 46% support the current administration’s handling of the issue, the survey found.
“Overall, it seems like most Americans see room for improvement when it comes to how the federal government spends its money, but prefer a more targeted approach,” Pisano said. “It’s also likely that hearing about cuts to agencies and programs they support is reminding some about the many critical functions that the government usually handles quietly, but relatively competently, such as air traffic control or administering national parks and public lands.”
Americans seem particularly opposed to the actions taken by Elon Musk and DOGE.
“Just 44% of Americans support Elon Musk’s Department of Government Efficiency (DOGE) task force, while only 35% support Musk’s role in the federal government,” Pisano said. “Putting such a well-known and controversial figure in charge of the effort seems to have drawn more negative attention than the cuts themselves would have otherwise.”
Editor’s note on political coverage: GOBankingRates is nonpartisan and strives to cover all aspects of the economy objectively and present balanced reports on politically focused finance stories. You can find more coverage of this topic on GOBankingRates.com.
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