Rates Fall to 5% Range as Big Investor “Ban” Gains Support

BiggerPockets Blog
Published: January 15, 2026
Pricing & Profitability

Summary

This article discusses potential changes in the housing market, including a possible ban on institutional investors buying single-family homes and a strategy to lower mortgage rates. Hosts should watch for these developments as they could impact housing prices and, therefore, the profitability of their STRs.

Key Insights

  • Institutional investors own a significant percentage of rental properties in some markets (e.g., 25% in Atlanta).
  • Trump is threatening to ban institutional investors from buying single-family homes, which could impact the supply of rental properties in certain markets.
  • Mortgage rates have fallen to the 5% range as of January 2026 due to potential government actions to lower rates.

Action Items

  • Monitor local market conditions and regulations regarding institutional investor activity in your area as changes could impact your ability to acquire or manage properties.
    Effort: low
    Impact: medium

Common Mistakes

  • Ignoring potential changes in the housing market could lead to unexpected fluctuations in property values and rental demand.

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