Blackstone shares drop as Trump proposes measures to prevent institutional investors from purchasing single-family houses

Blackstone Shares Drop Following Trump’s Announcement on Housing

Shares of Blackstone (BX) declined by up to 5% during midday trading on Wednesday after former President Trump revealed on Truth Social that he intends to prohibit institutional investors from purchasing additional single-family homes.

Trump stated that he plans to urge Congress to formalize this restriction, emphasizing that “homes are meant for people, not corporations.”

He further remarked, “For generations, homeownership has symbolized the height of the American Dream. Unfortunately, this dream is slipping away for many, especially younger generations.”

Blackstone’s Role in the Housing Market

Blackstone, a leading asset management firm overseeing assets exceeding $1 trillion, has spent recent years assembling one of the largest collections of rental properties in the United States, acquiring hundreds of thousands of single-family homes and apartments.

The company told CNBC in August that it holds “less than 1% of available housing” in each market where it operates, and frequently renovates and resells these properties.

However, critics argue that Blackstone’s large-scale home purchases in an already tight housing market have further limited supply and contributed to rising prices.

Upcoming Policy Discussions

Trump indicated that he will elaborate on this issue, along with other proposals related to housing affordability, during his upcoming address at the Davos conference later in January.