President Trump announced he is directing his “representatives” to buy $200 billion in mortgage bonds as a strategy for driving down mortgage rates.
In a posting on Truth Social, Trump blamed former President Biden for ignoring the housing market and credited himself for not selling Fannie Mae and Freddie Mac during his first term, adding the government-sponsored enterprises now have $200 billion that he will use for his mortgage bond purchasing.
“Because of this, I am instructing my Representatives to BUY $200 BILLION DOLLARS IN MORTGAGE BONDS,” he wrote. “This will drive Mortgage Rates DOWN, monthly payments DOWN, and make the cost of owning a home more affordable. It is one of my many steps in restoring Affordability, something that the Biden Administration absolutely destroyed. We are bringing back the AMERICAN DREAM that was destroyed by the last Administration. MAKE AMERICA GREAT AGAIN!”
Trump did not offer details on when or how the mortgage bond purchases would take place, nor did he identify who would be making this transaction. This is the second surprise announcement on housing made by Trump this week, following his declaration that he would seek to ban institutional investors from acquiring single-family housing.
Just another grift. Trump takes our tax payer money to control who gets mortgages, and those will be mostly people who donate to him or his cohorts. The corruption is going to kill the economy and drive the economic divide wider.
The Democrat party is a terrorist organization and now has psychotic Karens committing suicide by cop because of TDS in order to hide the Democrat crime syndicate. You people are the problem and have been for 250 years. Your hate is dangerous and the divide is between normal Americans and you people. I bet you are a white liberal woman with a college degree who hates everyone including yourself.
Do the math. Based on an average mortgage of $400,000 and 5,000,000 homes sold per year, this 200 billion would impact about 1% of the homes sold. I seriously doubt that there would be ANY impact on mortgage rates.
It’s not enough Ed…. you’re correct. But it’s a step in the right direction and will help some. Deporting about 10 million illegals will also help from a demand perspective, as will restricting major corporations ability to purchase tens of thousands of SFRs. As will lowering the cost of energy. These are all things the previous administration could have done but didn’t.
The problem is the 50 million illegals here…driving up housing costs and committing crimes without being prosecuted in blue cities because they are “votes.” The Democrat party can’t win elections with paper ballots cast by registered citizens. Then there’s the multi-billion dollar Somali scandal on top o climate change and covid. That’s why the Democrats are fomenting violence with ICE and trying to assassinate Trump. I am a former liberal Democrat who now sees the Party as Progressives who are ruthless and evil. The psychological warfare waged by the left is impressive. They literally have millions of Karens ready to commit acts of violence as their buttons are pushed every day by Democrat politicians…
Jerome Powell is intentionally keeping rates high because he is a deep state operative. We haven’t had this much trouble with the Democrats since 1865. Well, they overthrew the black republican government in Wilmington, NC in 1898…look it up. The Democrat party has always been evil. Today, the Democrats are stealing trillions of dollars from American taxpayers to fund their corruption.
Excellent news! I just had a client close on a home at 5.75%. I hope this will bring rates down into the low 5s – mid 4s (or lower! a girl can dream) so then those with 3% interest will be willing to part with their current loan in order to use the equity they most likely have to move again. This will help all the family classes!
Yup. It’s certainly worth a shot, which should let real American buyer’s see light at the end of the tunnel.
He’s not about to do anything that won’t fill his own pockets first.
You’re right Greg, he needs the money. WFI
Another scheme, another day.
I am so very tired day after day, after day..I’m in a loop of lies and cons from this man deceiving us daily and so many can’t see the forest for the trees. Welcome the new reality in our country.
We are the lemmings to Don’s Piper and it won’t end well for 99% of us.
Can you give us an example? I’ll bet you’re a Karen: white liberal college indoctrinated woman (for now) who hates everything including yourself. You’ll get loved ones killed to hate Trump and America.
You people do not know President Trump or how he made his money…he learned from his father that Real Estate is the basis of success…He knows what he’s doing and he will make it happen…trust me or better than that trust President Trump, he delivers on his promises