President Trump’s plan to lower mortgage rates boosts housing stocks like Opendoor Technologies. While this move may not guarantee a housing market revival, it signals potential policy changes benefiting the industry. Expectations of positive macroeconomic developments could trigger a meme stock rally, but consider less hyped housing stocks too.

Opendoor was a meme stock favorite in the past but lost momentum. However, Trump’s recent announcement sparked interest again in the real estate iBuyer. His directive to repurchase $200 billion in mortgage securities from Fannie Mae and Freddie Mac propelled Opendoor’s stock by 5%. Further housing market initiatives from the Trump administration could fuel more gains.

The Fannie/Freddie buyback is just the beginning. Federal Housing Finance Agency chief Bill Pulte hints at 30-50 more housing demand-boosting proposals. Positive macroeconomic news, like inflation and interest rate updates, could sustain housing stock rallies. While Opendoor’s hype may drive meme stock behavior, consider long-term investment risks before buying.

Despite positive news, Opendoor’s fundamentals remain speculative. Analysts predict the company will continue to incur losses until 2027. Share dilution risk from warrant issuance also looms. Instead of Opendoor, look into undervalued housing stocks for more stable investments.

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Read more at Yahoo Finance: Is This Once-Hyped Stock Finally Worth a Second Look?