Trump Targets Wall Street's Hold on U.S. Single-Family Homes

President Donald Trump announced plans to restrict Wall Street investments in single-family homes to curb soaring home prices. This move, aiming to alleviate housing affordability issues, impacts private-equity landlords and caused a fall in homebuilder shares. Details of the policy and its legal grounds remain unclear.

In a bold move, U.S. President Donald Trump declared his administration's intention to limit Wall Street investments in single-family homes. Announced via Truth Social, the plan aims to tackle escalating home prices, a decision that shook the market, denting the value of homebuilder shares.

Trump's stance underscores the growing sentiment that corporate purchases have priced many Americans out of homeownership, a once quintessential aspect of the American Dream. His call for Congress to enact this ban reveals the administration's urgency in addressing housing affordability, although specific legislative mechanisms remain undefined.

While Wall Street entities defend their limited role in housing inflation, the president faces pressure to mitigate living costs amid a climate of electoral scrutiny. As housing price growth slows, details on how Trump intends to navigate this policy change await further clarification.

(With inputs from agencies.)