Homes in Lexington Waters, Blaine, Minnesota.
Michael Silk | Getty Images
Home construction company stock lenner and taylor morrison home It rose on Tuesday following a report in Bloomberg News that the companies are part of a group working on a proposed “Trump Homes” plan aimed at easing America’s housing affordability crisis.
Both stocks rose 4% on Tuesday.
LEN, TMHC 5D chart
Bloomberg reported, citing people familiar with the plans, that builders including Lennar and Taylor Morrison Home are discussing a large-scale program to sell entry-level homes to an ownership program funded by private investors. In one version of the plan, an investor rents out a home to a tenant and has a portion of their monthly payments counted as a future down payment if they choose to buy after three years.
Housing affordability has emerged as a key issue for President Donald Trump as interest rates and prices rise. President Trump said earlier this month that the United States should ban large institutional investors from buying single-family homes, arguing that corporate ownership only exacerbates the housing affordability crisis. The president has also reiterated that he wants to help first-time buyers without causing a significant drop in existing home prices.
“We don’t want to drive down housing prices. We want to raise housing prices for people who own their homes,” he said at the World Economic Forum in Davos, Switzerland.
The proposal, dubbed “Trump Homes” by industry insiders, could eventually include as many as 1 million homes, Bloomberg reported. A White House official told the outlet that the administration is not actively considering the plan.
After a tough year last year, Lennar stock is off to a strong start heading into 2026, up 9%.
