Trump Signs Executive Order Targeting Wall Street Home Buyers

• 8:59 AM EST

by UrbanTurf Staff

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On Tuesday, President Trump signed an executive order aimed at stopping large institutional investors from purchasing single-family homes. The order directs federal agencies to restrict Wall Street firms from acquiring homes that could otherwise go to individual families. 

The order tackles the practice from multiple angles, starting with the government's own real estate dealings. Federal agencies including HUD, the VA, and Fannie Mae's overseer will have 60 days to issue guidance preventing large institutional investors from buying homes through government programs or purchasing foreclosed properties from federal portfolios. The directive includes carve-outs for build-to-rent communities that were designed as rentals from the ground up, but otherwise prioritizes sales to individual owner-occupants through measures like first-look policies and disclosure requirements.

Beyond federal sales, the order sets the stage for broader regulatory scrutiny of institutional homebuying. Treasury Secretary Scott Bessent will review existing rules governing how large investors acquire single-family homes, while the Justice Department and FTC are directed to examine substantial acquisitions for antitrust violations and investigate coordinated pricing strategies among corporate landlords in local markets. The order also requires landlords participating in federal housing programs to disclose their ownership structures, making it easier to identify when Wall Street firms are behind residential rental portfolios.

What's notably absent from the order is an immediate, outright ban on institutional homebuying. Instead, Trump's directive tasks Treasury with defining what constitutes a "large institutional investor" within 30 days and instructs his legislative team to prepare a bill codifying the policy for Congress. The implementation timeline stretches across 60 days for agency guidance, meaning the practical effects won't materialize for at least two months. 

This article originally published at https://dc.urbanturf.com/articles/blog/trump_signs_executive_order_targeting_wall_street_home_buyers/24236.