Bloomberg Talks: Bill Pulte Talks Fed Subpoena, Housing (January 12, 2026)

Main Theme & Purpose

This episode of Bloomberg Talks features an interview with Bill Pulte, Director of the Federal Housing Finance Agency (FHFA), discussing recent developments involving the Federal Reserve’s subpoena, the government's aggressive new housing policy direction, President Trump's housing initiatives, and the debate over institutional home buying. The episode sheds light on how the current administration aims to tackle housing affordability in the U.S., the impact of recent mortgage market actions, and the political and economic implications of these efforts.

Key Discussion Points & Insights

1. Bill Pulte’s Role in the Federal Reserve Subpoena

• Background: The DOJ’s decision to subpoena the Federal Reserve was reportedly influenced by actions and reports involving Director Bill Pulte and the FHFA.
• Pulte’s Response: He firmly denies any direct involvement, stating:
  • “The DOJ is outside of my purview. This is out of my purview. I don't know anything about it.” (01:42)
  • He consistently refers questions about the DOJ's actions to the Department of Justice.

2. White House Focus on Housing Affordability

• President Trump’s Priorities: According to Pulte, President Trump is “laser focused on housing affordability and reversing what has happened these last four years,” specifically aiming to undo the rise in costs since 2021. (03:03)
• Key Data Point: Pulte highlights how the average mortgage payment has soared under President Biden, making affordability a central agenda item for the administration.

3. The Institutional Home Buying Ban

• Policy Overview: President Trump announced plans to ban institutions from purchasing single-family homes, arguing this will help ordinary Americans become homeowners by reducing competition from large buyers.
• Pulte’s Justification:
  • “People should be living in homes, not corporations. … We have a supply problem in this country.” (02:04)
• Critics' Concerns: Wall Street and some economists argue institutional buyers only make up a small part of the market and that a ban may not address underlying supply issues.
• Pulte’s Rebuttal: “We serve the American people, we don’t serve Wall Street. … President Trump is laser focused on doing the right thing, no matter who it affects, in terms of their pocketbooks.” (07:49)
• Legislative Push: Pulte says there’s “amount of momentum at the legislative level” for the ban, with multiple senators interested in supporting the legislation. (08:35)

4. Mortgage Bond (MBS) Buyback Program

• Scale of Action: FHFA, under Trump, initiated a $200 billion buyback of mortgage-backed securities (MBS), with more than $230 billion purchased last year alone. (04:24)
• Intended Impact: The goal is to lower mortgage rates (which recently dropped 25 basis points after the announcement) and spur affordability.

5. Restructuring Fannie Mae & Freddie Mac

• Operational Changes: Pulte describes reform efforts, including bringing staff back to offices, reducing wasteful spending on leases, and boosting company valuations.
• IPO Possibility: On whether Fannie Mae or Freddie Mac might go public:
  • “We are fully prepared to do whatever the President would like us to do on that matter. … We are prepared.” (05:41)
• Valuations: Suggests joint valuations of Fannie and Freddie could reach up to $1 trillion. (04:24)

6. Political Attitudes & Cross-Party Inspiration

• Populist Moves: Pulte argues Trump’s stance on institutional housing is bolder than earlier calls from Democrats like Elizabeth Warren:
  • “Elizabeth Warren is going to have to take cues from us or she's going to continue to look like a fraud … President Trump, he gets things done.” (08:35)
• Nonpartisan Urgency: He stresses bipartisan importance and urgency, noting broad interest in legislative action.

7. Potential Declaration of a Housing Emergency

• No Commitment Yet: Asked whether the President will declare a housing emergency, Pulte says:
  • “That's entirely up to the President. I can tell you this. He is treating it with great urgency.” (09:15)
• All-Hands Approach: Names several top officials working on the issue, underlining a concerted government effort. (09:15)

Notable Quotes & Memorable Moments

• On DOJ Subpoena:
  Bill Pulte (01:42):
  “The DOJ is outside of my purview. This is out of my purview. I don't know anything about it.”

• On Institutional Home Ownership:
  Bill Pulte (02:04):
  “People should be living in homes, not corporations. … We have a supply problem in this country and obviously we're working on the demand side of things.”

• Addressing Wall Street Criticism:
  Bill Pulte (07:49):
  “We serve the American people, we don’t serve Wall Street ... President Trump is laser focused on doing the right thing, no matter who it affects, in terms of their pocketbooks. At the Wall Street level, he is focused, laser focused on action, not talk like so many of these Democrats, like Elizabeth Warren.”

• On Outpacing Democrats:
  Bill Pulte (08:35):
  “Elizabeth Warren is going to have to take cues from us or she's going to continue to look like a fraud because she says all these things and then she does nothing about it. … President Trump is doing something about it.”

• On Possible Housing Emergency:
  Bill Pulte (09:15):
  “That's entirely up to the President. I can tell you this. He is treating it with great urgency. He understands real estate very well.”

Important Segment Timestamps

• [01:17] – Background on DOJ subpoena and Bill Pulte's role
• [02:04] – Rationale for the institutional home buying ban, focus on affordability
• [04:24] – Discussion on mortgage bond buybacks and FHFA’s priorities
• [05:41] – Possibility of Fannie Mae & Freddie Mac IPO
• [06:37] – Economic debate on the institutional buyer ban
• [08:35] – Populist positioning vs. Democratic initiatives
• [09:15] – Urgency and the question of declaring a “housing emergency”

Tone and Speaker Style

Bill Pulte’s responses are confident, direct, and populist, emphasizing action over rhetoric and framing current FHFA efforts as delivering on President Trump’s campaign promises. The Bloomberg hosts and interviewers probe critically, citing economic counterpoints and political debates, maintaining an analytical and sometimes skeptical tone.

Summary Takeaway

This episode provides a deep dive into the Trump administration’s aggressive new housing policies—especially the proposed ban on institutional home buying and the unprecedented MBS buybacks—as well as the political dynamics and disputes surrounding these moves. Bill Pulte positions these policies as direct, urgent solutions to the spikes in housing costs seen in the last four years, repeatedly assuring that these measures are intended to benefit ordinary Americans, not Wall Street, and signaling more dramatic steps may be on the way.