Trump’s Housing Plan: What It Means for Buyers and Builders
Right out of the gate, President Trump wasted no time making changes to housing policy. Within hours of taking office, he signed executive orders aimed at cutting housing costs, rolling back regulations, and reshaping federal agencies tied to real estate and mortgages. Whether you’re a home buyer, seller, or investor, these moves could shake up the market in a big way.
One of the biggest priorities in his plan is lowering housing costs and increasing supply. Trump has argued that the previous administration added nearly $50,000 in extra costs per household, and he’s now working to reverse that. His orders direct federal agencies to reduce regulations that drive up construction costs and scale back climate policies that impact energy and housing expenses. The idea is that with fewer government-imposed restrictions, builders can produce homes more affordably, making it easier for buyers to get in.
The Department of Housing and Urban Development (HUD) and the Federal Housing Finance Agency (FHFA) are also undergoing leadership changes. Scott Turner, Trump’s pick for HUD Secretary, has pledged to cut inefficiencies and reverse Biden-era housing policies. Meanwhile, Bill Pulte, nominated as FHFA Director, has deep ties to the home building industry, which suggests a pro-growth, pro-construction stance moving forward.
Another major shift is happening at the Consumer Financial Protection Bureau (CFPB). This agency, long criticized by Trump for over regulation, is now under review, with some speculating it could face severe restrictions or even be eliminated altogether. On top of that, Trump has placed a freeze on new federal regulations, which could mean fewer restrictions on lending and financing in the near future.
But not everything in these policies points to lower costs. Trump has also signaled new tariffs on Canada and Mexico, with additional tariffs on Chinese imports ranging from 60% to 100%. If history is any guide, these tariffs could drive up construction costs, just like similar tariffs in 2018 that added nearly $9,000 to the price of a new home.
So, what does all of this mean for the housing market? In the short term, expect some shifts in pricing, regulations, and building activity. If Trump’s efforts to cut red tape succeed, it could mean cheaper homes and more construction. But if tariffs increase the cost of materials, builders might struggle to keep prices low.
For buyers and sellers, the key will be staying informed. The market is shifting, and these changes could create both opportunities and challenges depending on where you stand. One thing’s for sure—housing policy is going to be a hot topic in the months ahead.