Former President Donald Trump has unveiled a new policy framework aimed at preserving the American Dream by limiting corporate ownership of residential properties. The plan includes targeted tax incentives and regulatory barriers, creating new opportunities for small-scale real estate investors.
- 30% federal tax surcharge on corporate-owned homes with 100+ units, effective January 2027
- 180,000 homes expected to be offloaded by corporations to avoid new tax
- $15 billion in federal grants for first-time homebuyers over five years
- 60% homeowner access requirement for new developments in high-demand urban areas
- Projected 5% to 8% decline in low- and mid-tier home prices in targeted markets by 2027
- 40% increase in user sign-ups on real estate crowdfunding platforms since announcement
Former President Donald Trump has announced a comprehensive initiative to protect homeownership from large-scale corporate investment, framing it as a cornerstone of revitalizing the American Dream. The proposal, outlined in a speech delivered at a rally in West Palm Beach, Florida, calls for a 30% federal tax surcharge on residential properties held by corporations with more than 100 units, effective January 2027. This measure targets firms such as Blackstone Group, Invitation Homes, and American Homes 4 Rent, which collectively own over 450,000 single-family homes nationwide as of late 2025. The policy also introduces a new 'Homeowner First' grant program, allocating $15 billion in federal funds over five years to subsidize down payments for first-time buyers in markets with median home prices exceeding $350,000. Additionally, local governments would be required to certify that at least 60% of new housing developments in high-demand urban areas remain accessible to individual homeowners, not institutional investors. These rules would apply to cities including Miami, Austin, Phoenix, and Denver, where corporate ownership has risen by 22% since 2020. For small investors, the shift presents tangible opportunities. With corporate sellers expected to offload up to 180,000 homes over the next two years to avoid the new tax, a surge in entry-level listings is projected. Analysts estimate that low- and mid-tier home prices in targeted markets could decline by 5% to 8% in 2027, creating favorable conditions for buyers with $50,000 to $100,000 in available capital. Meanwhile, real estate crowdfunding platforms like Fundrise and RealtyMogul are reporting a 40% increase in user sign-ups since the announcement, indicating growing interest among retail investors. The broader real estate sector is reacting with cautious optimism. Homebuilders such as Lennar Corporation (NYSE: LEN) and D.R. Horton (NYSE: DHI) have seen stock gains of 6% and 5.3%, respectively, over the past week. Mortgage lenders including Wells Fargo (NYSE: WFC) and Bank of America (NYSE: BAC) are also adjusting their product offerings to include low-down-payment financing options tailored to first-time buyers under the new policy framework.