The Trump administration is advancing a broad strategy to improve housing affordability. Fannie Mae and Freddie Mac will be directed to purchase $200 billion in mortgage bonds to lower interest rates. A pending executive order and legislative support aim to ban large institutional investors from purchasing single-family homes. The administration also plans to cut regulations to increase the total housing supply.
Large banks are simultaneously lobbying for deregulation to reduce origination costs and increase lending volumes. However, lenders remain hesitant toward specific proposals, such as the introduction of 50-year mortgages. Critics argue these long-term loans primarily benefit banks through increased interest payments while burdening consumers with extended debt.