President Donald Trump has voiced his opposition to America becoming "a nation of renters," but housing policy proposals he has put forth may hinder homeownership for many Americans, according to some experts. Speaking at the World Economic Forum in Davos, Switzerland, on Wednesday, Trump promoted recent executive orders aimed at reshaping housing policy, including measures intended to curb institutional investors from acquiring single-family homes.

Trump stated that institutional homebuying is "just not fair to the public that they're not able to buy a house." He urged Congress to codify a ban on the practice into law. Additionally, Trump has requested Congress to implement a 10% cap on credit-card interest rates, arguing that this would enable millions of Americans to save money for home purchases.

The president directly addressed Wall Street figures and institutional homebuyers in Davos, acknowledging their support but also noting their role in escalating housing prices through large-scale acquisitions.

One of Trump's proposals involves directing government-controlled mortgage finance firms Fannie Mae and Freddie Mac to purchase $200 billion in mortgage-backed securities. While the intention is to lower mortgage rates, some analysts suggest this could have unintended consequences that make homeownership less attainable.

The concern stems from the potential impact on the availability of mortgages for first-time homebuyers and those with lower credit scores. By focusing on mortgage-backed securities, Fannie Mae and Freddie Mac might prioritize lower-risk loans, leaving potential homeowners with limited options and potentially higher interest rates in the long run.

The proposals come as the housing market continues to face challenges related to affordability and supply. Rising home prices, coupled with increasing interest rates in recent years, have made it more difficult for many Americans to enter the housing market. The National Association of Realtors has reported a decline in home sales in recent months, indicating a cooling market.

The White House maintains that Trump's policies are designed to promote broader access to homeownership and stimulate economic growth. However, the effectiveness and potential ramifications of these proposals remain a subject of debate among economists and housing market experts. The proposed cap on credit card interest rates would require Congressional approval, and its prospects are uncertain. The future impact of the directives regarding Fannie Mae and Freddie Mac will depend on how these entities implement the changes and the overall market response.