Trump Unveils Bold Housing Reforms to Boost Homeownership

President Donald Trump announced housing policies aimed at making homeownership more affordable. His plans include lowering interest rates on home loans and credit cards, and barring institutional investors from buying single-family homes. However, the actual impact of these proposed measures remains uncertain.

President Donald Trump has unveiled a series of ambitious housing policies designed to make homeownership more accessible for Americans. Speaking at the World Economic Forum in Davos, Switzerland, Trump outlined initiatives to lower interest rates and limit large investors from purchasing single-family homes.

The US housing market has struggled since 2022 due to rising mortgage rates and home prices. In light of these challenges, Trump emphasized the need for financial flexibility for aspiring homeowners, proposing a federal purchase of USD 200 billion in mortgage bonds to help cut mortgage rates.

While optimistic about these measures, Trump acknowledged challenges, such as the Federal Reserve's influence on rates and the dominance of institutional investors in the real estate market. He also signaled further housing policy announcements, including potential new uses for 401(k) funds in buying homes.

(With inputs from agencies.)