On January 20, the White House released an executive order aimed at stopping “Wall Street” from competing with American homebuyers. The order directed cabinet officials to have their agencies develop policies to prevent large institutional investors, to the maximum extent permitted by law, from buying single-family homes that could otherwise be purchased by families.

The order noted that a growing share of single-family homes had been purchased by Wall Street investors, crowding out families seeking to buy homes. The order directed the U.S. Treasury, in consultation with the assistant to the president for economic policy, to develop definitions of “large institutional investor” and “single-family home” within 30 days. It further required USDA, HUD, the Department of Veterans Affairs, the General Services Administration, and the FHFA to issue guidance within 60 days to prevent agencies and government-sponsored enterprises from facilitating the acquisition of single-family homes by large institutional investors and to promote sales to individual owner-occupants.

Additional measures included a review by Treasury of existing rules and guidance applicable to the acquisition of single-family homes by large institutional investors, a directive for DOJ and the FTC to review acquisitions for anti-competitive effects, and a requirement for HUD to increase ownership transparency in federal housing assistance programs. The order tasked the White House’s deputy chief of staff for legislative, political and public affairs with preparing a legislative recommendation to codify the policy of the administration to prevent large institutional investors from acquiring single-family homes.