President Trump Proposes Ban on Institutional Investors Purchasing Single-Family Homes

President Donald Trump announced on Wednesday his intention to ban large institutional investors from purchasing single-family homes, aiming to improve housing affordability for individual buyers. In a social media post, Trump stated, "I am immediately taking steps to ban large institutional investors from buying more single-family homes, and I will be calling on Congress to codify it. People live in homes, not corporations."

Institutional investors, including firms like Blackstone and JPMorgan Chase, have significantly increased their acquisitions of single-family homes in recent years, often converting them into rental properties. This trend intensified following the 2008 financial crisis, particularly in Sun Belt states. Critics argue that such practices reduce housing availability for individual buyers and contribute to rising home prices.

Following Trump's announcement, shares of Blackstone fell by as much as 9% on Wednesday. The president indicated plans to outline additional housing and affordability proposals in the coming weeks, noting, "I will discuss this topic, including further Housing and Affordability proposals, and more, at my speech in Davos in two weeks." He is scheduled to address the World Economic Forum later this month in Davos, Switzerland.

The U.S. housing market has experienced significant price increases in recent years, driven by low inventory and mortgage rates exceeding 6%. Between early 2020 and the third quarter of 2025, home prices climbed nearly 55% nationwide, according to the National Association of Home Builders. While institutional investors own a small percentage of single-family homes nationally, their presence is more pronounced in certain markets. For instance, in Atlanta, Jacksonville, Florida, and Charlotte, North Carolina, large investors controlled more than 15% of the single-family home market as of 2022, according to the Government Accountability Office.

Lawmakers from both parties have proposed restricting corporate investors from the home-buying market, arguing that mass purchases by these entities have driven up prices and made it harder for individual Americans to find homes. However, some housing experts contend that banning large investors would have minimal impact on overall housing stock and could deter investment in the market. Jaret Seiberg, an analyst at TD Cowen, commented, "This will not fix housing affordability. It may boost single-family purchases, but it will come at the cost of reducing single-family rentals."