#Business

iBuying Platforms Surge Following Trump's $200 Billion Mortgage Bond Initiative

Fri, Jan 09, 26
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Opendoor Technologies and Offerpad Solutions experience significant stock price increases following the announcement of a major mortgage bond purchase program.

President Trump has proposed purchasing $200 billion in mortgage bonds through government-sponsored enterprises Fannie Mae and Freddie Mac to reduce mortgage rates and improve housing affordability. This announcement has triggered substantial stock gains for iBuying platforms Opendoor and Offerpad, with Opendoor rising 13.06% and Offerpad jumping 52.63% in after-hours trading.

Earlier, Trump suggested restricting institutional investors from purchasing single-family homes, but Opendoor's Head of Homebuilder Partnerships clarified that this restriction would not significantly impact their operations, as it targets landlords with over 100 properties rather than consumer platforms. The mortgage bond proposal and clarification regarding the institutional buying restrictions have reduced investor concerns and generated positive market reactions for both companies.

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Comprehension Quiz
Question 1 of 30 Correct
Which government-sponsored enterprises would be used to purchase the mortgage bonds?
Wells Fargo and Bank of America
Fannie Mae and Freddie Mac
JPMorgan and Goldman Sachs
Citigroup and Morgan Stanley
Select an answer above

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