California Democratic Rep. Ro Khanna on Friday reintroduced a bill that would curb institutional investors from buying up housing, leveraging a similar call made recently by President Donald Trump.
Trump said in a Truth Social post on Jan. 7 that he would be "immediately taking steps to ban large institutional investors from buying more single-family homes."
Trump's remark was one of a flurry of populist economic moves by the president as he races to address voter concerns about affordability ahead of the 2026 midterm elections.
A recent Marist poll found that just 36% of Americans approved of Trump's handling of the economy, while 57% disapproved. That is a significant headwind for Trump's fellow Republicans in Congress as they try to hang onto their razor-thin majorities in the House of Representatives and Senate.
In a statement to CNBC, Khanna invoked Trump's recent support for blocking institutional investors from buying up housing.
"If President Trump is serious about taking on Wall Street landlords, Congress should pass my bill and he should sign it into law," Khanna said. "Homes should be owned by people, not wealthy corporate landlords who are buying up single-family homes and pushing the dream of homeownership out of reach for too many Americans."
While bill text was not immediately available, Khanna's office told CNBC that the Stop Wall Street Landlords Act would prohibit large institutional investors from taking advantage of home-related tax breaks, including mortgage interest, insurance and depreciation deductions.
The bill would also require federal and government-backed agencies such as Fannie Mae and Freddie Mac to prohibit large institutional investors from purchasing mortgages on single-family homes. Large Institutional investors who sell single-family homes more than 18 months after the bill's enactment would be slapped with a real estate transfer tax equal to 100% of the home's sale value.
In prior versions of the bill, including one introduced in late 2024, a large institutional investor was defined as a person or firm with assets exceeding $100 million.
Khanna has 13 cosponsors on the bill so far, all Democrats. But it's possible that Trump's call for an end to large investors in the single-family home market may prompt some House GOP members to join Khanna's effort.
In an interview with CNBC, Khanna said he's willing to work with Trump on legislation "if it's actually going to help the working class."
"If he calls me up, I'll help lead the bill," Khanna said.
Trump is set to speak at the World Economic Forum in Davos on Wednesday, where the president said he will address his housing proposal.
"I will discuss this topic, including further Housing and Affordability proposals, and more, at my speech in Davos," Trump said on Truth Social.