Trump banned large institutional investors from purchasing single family homes.
Podcasts > Your Personal Bank with Ferenc Toth
Monday, January 26, 2026
Trump just issued an executive order to ban large institutional investors from purchasing single family homes. He stated "A person sweats, works, buys one house and can't take depreciation".
The average age of first time homebuyers is 40, the highest ever recorded. The average age of all homebuyers is 59. Homebuyers over the age of 70 outnumber buyers under 35. This is not a healthy market.
Trump's ban will likely reduce home prices in the short term.
Lennar, the second largest homebuilder in the US, has dropped prices 27%, below pre-pandemic prices. New home inventory especially in the Southeast are at all-time highs. The homebuilders felt comfortable building homes because if they were unable to sell to a homebuyer institutional buyers would purchase the property.
The US dollar as reserve currency status has been strengthened.
It is based primarily on the petrodollar. The US and Saudi Arabia agreed to price its oil in US dollars in exchange for military protection and economic cooperation. The relationship was strengthened recently by Trump. This ensures steady demand for the dollar.
In 2019 the US became a net exporter of oil. This further strengthens the US dollar in oil trade.
All major oil benchmarks, West Texas Intermediate and Brent Crude are priced in US dollars.
US and Venezuelan combined oil reserves account for over 50% of the total world's oil reserves. As long as the US controls Venezuelan oil, the US will dominate the world oil market. The US has prevented China from controlling Venezuelan oil. This is a significant hit to China and the BRICS currency.
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