Homebuilder stocks came under pressure, with the S&P Composite 1500 Homebuilding Index falling as much as 1.4%
The Trump administration is exploring an antitrust investigation into major US homebuilders as attention turns to the nation’s worsening housing affordability crisis.
The Department of Justice could open a probe in the coming weeks, though no final decision has been made. The review comes as home prices remain near record highs following the pandemic housing boom and rising interest rates.
Meanwhile, officials are reportedly discussing a plan to add up to one million homes to increase supply.
Authorities are reviewing whether builders shared sensitive market information through the Leading Builders of America trade group in ways that may have limited housing supply or coordinated prices.
Concerns are growing about information sharing within the group, which includes several large builders. Officials fear such coordination could restrict supply or influence pricing across the market.
Homebuilder stocks came under pressure, with the S&P Composite 1500 Homebuilding Index falling as much as 1.4%. Major builders include D.R. Horton, Lennar, PulteGroup, and Toll Brothers.
The possible probe comes as high home prices and elevated mortgage rates continue to strain buyers.
At the same time, builders are reportedly discussing plans to construct nearly one million homes to boost supply and ease affordability pressures nationwide.