Overview
- Trump has proposed barring large institutional investors from buying additional single-family homes, with details expected in Davos this week as Treasury Secretary Scott Bessent says the focus is on big firms rather than mom-and-pop landlords.
- Administration officials say the policy would not force sales of existing holdings, while thresholds, enforcement, and whether legislation is needed remain unresolved.
- Institutional buyers accounted for about 2.9% of U.S. home purchases in early 2025, and in Houston large firms own roughly 12,500 homes—under 1% of the city’s stock—even as their holdings cluster in specific neighborhoods.
- Economists expect limited affordability gains because smaller investors could replace large buyers, and they warn of possible downsides such as more vacancies, reduced homebuilding, or higher rents if single-family rental supply contracts.
- A Pretium spokesperson defends large-scale rentals as providing quality options, the Realtors group urges incentives to sell to owner-occupants, experts highlight zoning reform and downpayment aid as core solutions, and a libertarian critique opposes federal limits on whom sellers may choose.