Trump’s executive orders and policies that could impact housing

Last updated: January 20 at 8:15 PM central time: Added information on inflation, tariffs, a regulatory freeze and DOGE.

What are President Trump’s housing priorities in his second term? That’s the burning question for real estate, mortgage, title, appraisal and homebuilding professionals — and the answer began to take shape on the president’s first day in office Monday.

Trump’s theme inaugural speech was focused on making America great again, but there was nothing in the speech that was specifically about housing. “From this moment on, it will be America First. Every decision on trade, taxes, immigration and foreign affairs will benefit American workers and American families,” the president said in his speech.

Trump has promised to join in 100 executive orders on his first day at work, which can be grouped into these categories:

• Immigration: Ten executive orders on border security and illegal immigration, including a national emergency declaration at the border
• Defining DEI/gender: Ending DEI programs in government, defining two genders.
• Energy/Climate Change: Declaring a national energy emergency and withdrawing from the Paris Agreement.
• Inflation:
• Mixed (renaming the Gulf of Mexico, extending the TikTok ban deadline, etc.)

We’ll keep an eye on the details of these orders as they pass through today and this week, as some – such as inflation initiatives – could directly impact housing construction. But Trump’s housing policies are also reflected in his choices for federal departments and regulatory agencies.

Trump is known for being anti-regulation and has promised to look at every government agency and regulator to see where he can make cuts. On Monday evening, Trump officially created the Department of Government Efficiency (DOGE) by executive order to implement this vision, under the leadership of Elon Musk. (Trump accomplished this by renaming the United States Digital Service, which was created by the Obama administration in 2014. The DOGE effort was facing multiple lawsuits because it operated under an unofficial status).

On Monday evening, Trump signed an executive order freezing government recruitment and a “regulatory freeze” that prevents the creation of new federal regulations, NPR reported.

Here’s what his plan to reform federal agencies and regulators and influence economic factors looks like so far.

HUD

HUD was identified in the Project 2025 Presidential Transition Project as an agency focused on massive budget cuts. The author of the HUD section was Trump’s former HUD Secretary Ben Carson, who wrote that HUD needed a “reset,” which would include “a broad reversal of the Biden administration’s continued implementation of corrosive progressive ideologies in its programs of the department’.

Trump’s nominee for HUD secretary this term is Scott Turner, who worked very closely with Carson during Trump’s first term. Turner is the former Executive Director of the White House Opportunity and Revitalization Council (WHORC), a member of the America First Policy Institutea former professional football player and Texas state representative.

During Trump’s first term, Turner oversaw about $50 billion in private investments in the country opportunity zones. During his confirmation hearing last week, Turner emphasized that he would look very closely at HUD’s budget to eliminate any inefficiencies.

FHFA

Trump announced his choice for FHFA director last week: Bill Pulte. Pulte is the grandson of the late homebuilding icon William Pulte and is the founder of Pulte Capital Partnerswhich focuses on construction investments in “middle market companies and lower priority divisions of national companies,” according to the company’s website.

The FHFA is charged with oversight, regulation, and oversight of the housing mission Fannie Mae, Freddie Macand the Federal home loan banksto ensure they fulfill their mission to serve as a reliable source of liquidity and financing for home financing and community investments. It is not yet clear what the agency’s goals and priorities will be under Pulte. With his family ties to homebuilding, Pulte is seen as a “friend of the industry,” investment banker and author Chris Whalen said in an interview with HousingWire.

The fate of the CFPB

The Consumer Financial Protection Bureau (CFPB) has been a target of Trump since the last time he was in office. Musk ramped up the administration’s rhetoric this time, calling for the “removal” of the CFPB in November. That sentiment apparently makes it difficult to find anyone who wants Rohit Chopra’s job heading the agency. The Financial Times reported that several ‘experienced candidates’ opted not to take part in the selection process when reached about a potential role in the role.

Trump’s choice to lead the CFPB in his first term, Kathy Kraninger, was supported by mortgage industry groups during her time in office and was picked to lead the CFPB. Florida Bankers Association after she resigned as CFPB director when Biden won.

Rates

Trump did not immediately impose tariffs on Monday, but issued an executive order “directing federal agencies to begin studying a broad list of trade issues that could ultimately result in taxes on goods from China, Canada, Mexico and other countries in the coming months.” ” the The New York Times reports this. However, the Times also reported that Trump, in response to a reporter’s question about tariffs Monday evening, said he planned to impose 25% tariffs on Canada and Mexico starting Feb. 1.

During his campaign and since the election, Trump has proposed tariffs on imports from a number of countries, including tariffs of 60% to 100% on products imported from China and a 25% tariff on all Mexican goods.

Within the residential construction sector, homebuilders are most likely to feel the impact of the rates. During Trump’s first term, tariffs on Canadian softwood lumber led to a rise in costs for homebuilders. In 2018, the NAHB estimated that the rates added nearly $9,000 to the cost of building a single-family home. The impact on lumber prices was dramatic, with costs increasing by nearly 80% year over year, partly due to taxes.

HousingWire principal analyst Logan Mohtashami pointed out in a recent podcast that President Trump is more of a “tactical tariff person than a full-fledged trade war person.” During his previous administration, he waited until corporate tax cuts were implemented before launching a more tactical trade war.”