MBS
Angel Oak Mortgage-Backed Securities ETF
stock NASDAQ ETF

Mortgage rates “5.7% now” — and Trump says he hit the $200B MBS button 🏠🖨️

But in bed with MBS lol

If he wanted housing affordability, buying up MBS and lowering yields will boost housing prices and make it even more unaffordable

That’s true for MBS pure (like MBB) but mortgage REITs hedge against interest rates for most of their book.
I was wondering about the full impact of $200B. Thats two months worth of current coupon issuance.

Main point: don’t treat this like a clean 8x revenue layup; this is a policy trade wrapped around a structurally risky business model.
If Trump really follows through on banning institutional buyers, that’s a double-edged sword for something like Opendoor. Less competition on acquisitions sounds great, but a ton of Opendoor’s exit liquidity and pricing reference comes from those same institutional flows. Same with $200B in MBS buys: you might get a short-term volume bump, but if rates drift back up or policy shifts, you’re stuck with inventory bought on fantasy spreads.
When I look at housing plays, I’d rather spread risk: a mix of builders like D.R. Horton, maybe some material names, plus a few custom-on-your-lot builders like Schumacher Homes and small regional operators that don’t live or die on Fed/White House headlines.
Main point: treat OPEN as a high-beta policy momentum trade, not a long-term “8x revenue is in the bag” story.

I would still be very wary of investing in mortgages right now.
Primarily MBS rates are impacted by the 10 year T note, which is more a response to inflation than any other outside influence. Fed cutting rates has almost no impact on it and lately has even pushed MBS rates even higher. MBS won't naturally fall until inflation drops, home prices ease, or the market broadly seems secure.
Trump also said he wants Feddie and Frannie to buy $200b worth of bonds. That's about 1 days worth of activity. It won't move the market much.
MBS needs to come down to somewhere in the low 5s to make refinancing worth it. The cost of refinancing adds years to your mortgage, so it doesn't make financial sense until rates drop enough that you see immediate savings. (Think of it this way - if I save $100/mo by refinancing, but it costs me $3,000, it would take 30 months to realize any savings... and at that point rates are hopefully even lower.)
Another thing to keep in mind - only about 20% of mortgages right now are in the 6s. 50% are under 4%. That's not a HUGE pool of people who are going to refinance.
https://imgur.com/a/7NUVJoX
Personally I'd stay away from real estate right now. Until homes themselves correct (or interest rates drop to 2% again), it's going to stay rather stagnant.

This sounds more like a political message than a real economic policy. The president does not have the authority to unilaterally “instruct” the purchase of $200 billion in MBS, especially without any clarity on who would actually be buying them -the Fed, the Treasury, or the GSEs themselves. Moreover, a massive intervention in the mortgage-backed securities market carries serious risks: price distortion, inflationary pressure, and undermining the independence of monetary policy. If the goal is lower interest rates, that doesn’t happen through a Truth Social post, but through a coordinated fiscal and monetary strategy - and transparency.

This is a headline, but the mechanics matter more than the message. Buying $200B in MBS could compress mortgage spreads short-term, but without clarity on who has authority, how it's executed, and whether it conflicts with Fed policy, markets will likely treat this as noise unity details emerge. If anything, the uncertainty itself may keep rates sticky.