- President Donald Trump proposes $200 billion in mortgage bond purchases to lower housing costs.
- Trump claims Fannie Mae and Freddie Mac have funds to support affordable homeownership.
- It was not clear who Trump meant by his "representatives," or which entity would carry out the purchases.
President Donald Trump said Thursday that he is instructing "representatives" to buy $200 billion in mortgage bonds, arguing the move would lower interest rates and monthly housing payments.
In a Truth Social post, Trump said the directive was possible because Fannie Mae and Freddie Mac have "$200 billion in cash." He added the bond purchases would help "make the cost of owning a home more affordable."
It was not clear who Trump meant by his "representatives," or which entity would carry out the purchases. The White House did not immediately respond to requests for clarification.
Trump's proposal for his representatives to buy housing bonds comes on the heels of a Wednesday statement made by the president, in which he said he would ban "large institutional investors" from buying single-family homes in the US.
Business Insider previously reported that many housing economists say such a ban would do little to improve national housing affordability. It is unclear what effect Trump's latest proposal would have on the market.
This is a developing story; please check back for updates.
