Update: The 21st Century ROAD to Housing Act

We have detected that fraudulent individuals are misusing the "DWS" trademark and the names of DWS employees on the internet and social media. These fraudsters are operating fake websites, Facebook pages, WhatsApp groups and Mobile Apps. Please be aware that DWS does not have any Facebook Ambassador profiles or WhatsApp chats. If you receive any unexpected calls, messages, or emails claiming to be from DWS, exercise caution and do not make any payments or disclose personal information. We encourage you to report any suspicious activity to info@dws.com, including any relevant documents and the original fraudulent email. Additionally, if you believe you have been a victim of fraud, please notify your local authorities and take steps to protect yourself.

Update: The 21st Century ROAD to Housing Act

8/19/2026

Brooks Wells

Head of Research, Americas

After months of back-and-forth between the Senate and the House, the two chambers reached an agreement in late June on a comprehensive bipartisan housing package, the 21st Century ROAD to Housing Act.^[1] The law became effective July 11 after President Donald Trump neither signed nor vetoed the legislation within the prescribed 10-day review period.^[2] There is broad recognition now both by the White House and lawmakers, in an overwhelming majority, that private capital has a very big role to play for a component of the American population that wants to rent a home.^[1]

National Multifamily Housing Council (NMHC), representing rental housing providers and millions of residents, described the Act as “the most important housing legislation in a generation”.^[3] NMHC believes the law will modernize federal housing programs, reduce barriers to development and encourage the production and preservation of more housing nationwide. According to NMHC, the law will help communities expand housing supply, improve affordability and create more pathways to both rental housing and homeownership.

The law is a broad bipartisan housing reform package, but its most discussed provision bars a "large institutional investor," defined in the statute as an entity that owns at least 350 single-family homes, from purchasing additional single-family homes.^[4] This applies to existing single-family homes (two or fewer dwelling units).^[4] While buying additional existing single-family homes on the open market is banned, the institutional acquisition of new homes is permitted.^[5] Homebuilders can sell inventory in for-sale communities to
institutional investors without limitation.^[5] Institutional build-to-rent* owners, operators, and developers are not subject to the investment ban.^[5] We conclude the law targets institutions competing with first-time homebuyers on existing for-sale inventory, not institutions adding new supply.

In a pivot toward new construction, the law creates incentives and financing tools that target housing supply, community development and Opportunity Zone multifamily — with multiple carve-outs for build-to-rent and other strategies that add new inventory.^[6] We believe these carve-outs matter because housing affordability is ultimately a supply problem.

Implications:
In our view, the legislation provides important clarity for investors, lenders and industry participants while reinforcing the distinction between build-to-rent housing and the acquisition of existing for-sale homes. The legislation acknowledges that limiting investment in the construction of built-to-rent housing does not create more homes for sale; it results in fewer homes being built altogether.

Dallas B. Tanner, the CEO of Invitation Homes, the nation’s largest single-family rental landlord, said that the recently passed housing bill that bans investors like him from buying existing homes will eventually lower home prices over the medium to long term, it will not have an immediate impact.^[7] He emphasized that the law’s main effect is on deregulation and capital flow, not a direct price drop.

New Law Changes the Playbook:
While the law aims to limit large-scale investor purchases of existing single-family homes, we maintain it preserves activities essential to building and maintaining housing supply. We expect institutional investors will likely move into carve-out categories that add new rental inventory such as build-to-rent, rent-to-renovate or certain homeownership-boost programs.

Institutional owners of single-family rentals have more than doubled the number of homes they have been bringing to market since February, a shift that offers an early read on how Wall Street is repositioning in response to Washington's new buying ban.^[8] Given where U.S. home prices are, some of this is likely at-tributed to shifts in strategy — accumulate high dollar values off of top U.S. home values by culling underperforming assets and redirect that capital towards growth areas, i.e., build-to-rent, for example. For commercial real estate executives watching the single-family rental sector, this implies that policy risk is now translating into portfolio pruning, price flexibility and a renewed push into development-heavy strategies.

*Defining Built-to-Rent: DWS defines build-to-rent communities as purpose-built residential developments designed from the ground up for long-term rental occupancy, rather than for sale to homeowners. Unlike scattered single-family rentals, they are typically master-planned, professionally managed neighborhoods that combine the form and scale of a suburban subdivision with the management and operational structure of a multifamily asset.

Real Estate Minute | July 17, 2026

7/17/2026

Jobs, the economy, and real estate

Muni Minute | July 13, 2026

7/13/2026

Looking Beyond the Municipal Bond Ladder

This information is subject to change at any time, based upon economic, market and other considerations and should not be construed as a recommendation. Past performance is not indicative of future returns. Forecasts are not a reliable indicator of future performance. Forecasts are based on assumptions, estimates, opinions and hypothetical models that may prove to be incorrect.

For North America:

This material was prepared without regard to the specific objectives, financial situation or needs of any particular person who may receive it. It is intended for informational purposes only. It does not constitute investment advice, a recommendation, an offer, solicitation, the basis for any contract to purchase or sell any security or other instrument, or for DWS or its affiliates to enter into or arrange any type of transaction as a consequence of any information contained herein.

Neither DWS nor any of its affiliates gives any warranty as to the accuracy, reliability or completeness of information which is contained in this document. Except insofar as liability under any statute cannot be excluded, no member of the DWS, the Issuer or any office, employee or associate of them accepts any liability (whether arising in contract, in tort or negligence or otherwise) for any error or omission in this document or for any resulting loss or damage whether direct, indirect, consequential or otherwise suffered by the recipient of this document or any other person.

The views expressed in this document constitute DWS Group’s judgment at the time of issue and are subject to change. This document is only for professional investors. This document was prepared without regard to the specific objectives, financial situation or needs of any particular person who may receive it. No further distribution is allowed without prior written consent of the Issuer.

Investments are subject to risk, including market fluctuations, regulatory change, possible delays in repayment and loss of income and principal invested. The value of investments can fall as well as rise and you might not get back the amount originally invested at any point in time.

Real Estate risk: Investing in Real Estate is subject to various risks, including but not limited to the following: Adverse changes in economic conditions including changes in the financial conditions of tenants, buyer and sellers, changes in the availability of debt financing, changes in interest rates, real estate tax rates and other operating expenses; Adverse changes in law and regulation including environmental laws and regulations, zoning laws and other governmental rules and fiscal policies; Environmental claims arising in respect of real estate acquired with undisclosed or unknown environmental problems or as to which inadequate reserves have been established; changes in the relative popularity of property types and locations; risks and operating problems arising out of the presence of certain construction materials; and currency/exchange rate risks where the investments are denominated in a currency other than the investor’s home currency.

An investment in real assets involves a high degree of risk, including possible loss of principal amount invested, and is suitable only for sophisticated investors who can bear such losses. The value of shares/ units and their derived income may fall or rise.

War, terrorism, sanctions, economic uncertainty, trade disputes, public health crises and related geopolitical events have led, and, in the future, may lead to significant disruptions in US and world economies and markets, which may lead to increased market volatility and may have significant adverse effects on the fund and its investments.

For Investors in Canada. No securities commission or similar authority in Canada has reviewed or in any way passed upon this document or the merits of the securities described herein and any representation to the contrary is an offence. This document is intended for discussion purposes only and does not create any legally binding obligations on the part of DWS Group. Without limitation, this document does not constitute an offer, an invitation to offer or a recommendation to enter into any transaction. When making an investment decision, you should rely solely on the final documentation relating to the transaction you are considering, and not the document contained herein. DWS Group is not acting as your financial adviser or in any other fiduciary capacity with respect to any transaction presented to you. Any transaction(s) or products(s) mentioned herein may not be appropriate for all investors and before entering into any transaction you should take steps to ensure that you fully understand such transaction(s) and have made an independent assessment of the appropriateness of the transaction(s) in the light of your own objectives and circumstances, including the possible risks and benefits of entering into such transaction. You should also consider seeking advice from your own advisers in making this assessment. If you decide to enter into a transaction with DWS Group, you do so in reliance on your own judgment. The information contained in this document is based on material we believe to be reliable; however, we do not represent that it is accurate, current, complete, or error free. Assumptions, estimates, and opinions contained in this document constitute our judgment as of the date of the document and are subject to change without notice. Any projections are based on a number of assumptions as to market conditions and there can be no guarantee that any projected results will be achieved. Past performance is not a guarantee of future results. The distribution of this document and availability of these products and services in certain jurisdictions may be restricted by law. You may not distribute this document, in whole or in part, without our express written permission.

108446_1.8 (08/2027)

This website is intended to be a general communication and is provided for informational and/or educational purposes only. None of the content should be viewed as a suggestion that you take or refrain from taking any action nor as a recommendation for any specific investment product, strategy, plan feature or other such purpose. Your use of this website indicates that you agree with the intended purpose. Prior to making any investment or financial decision, you should seek individualized advice from a personal financial, tax, and other professionals who are able to provide advice in the context of your particular financial situation.

War, terrorism, sanctions, economic uncertainty, trade disputes, public health crises and related geopolitical events have led and, in the future, may lead to significant disruptions in US and world economies and markets, which may lead to increased market volatility and may have significant adverse effects on the fund and its investment.

Obtain a prospectus
Carefully consider the fund's investment objectives, risk factors, charges and expenses before investing. This and other information can be found in the fund's prospectus. To obtain a mutual fund summary prospectus, if available, or prospectus, call (800) 728-3337 or download one here. To obtain an ETF prospectus call (844) 851-4255 or download one here. Read the prospectus carefully before investing.

Investing involves risk including loss of principal. Stocks may decline in value. Bond investments are subject to interest-rate, credit, liquidity, and market risks to varying degrees. When interest rates rise, bond prices generally fall. You cannot invest directly in an index. Credit risk refers to the ability of an issuer to make timely payments of principal and interest. Investing in derivatives entails special risks relating to liquidity, leverage and credit that may reduce returns and/or increase volatility. Foreign investing involves greater and different risks than investing in US companies, including currency fluctuations, less liquidity, less developed or less efficient trading markets, lack of comprehensive company information, political instability and differing auditing and legal standards. Emerging markets tend to be more volatile and less liquid than the markets of more mature economies, and generally have less diverse and less mature economic structures and less stable political systems than those of developed countries. Funds investing in a single industry, country or in a limited geographic region generally are more volatile than more diversified funds. Performance of a fund may diverge from that of an underlying index due to operating expenses, transaction costs, cash flows, use of sampling strategies or operational inefficiencies. There are additional risks associated with investing in high-yield bonds, aggressive growth stocks, non-diversified/concentrated funds and small- and mid-cap stocks which are more fully explained in the prospectuses, as applicable. An investment in any fund should be considered only as a supplement to a complete investment program for those investors willing to accept the risks associated with that fund. Please read the applicable prospectus for more information.

Shares of exchange traded funds (ETFs) are bought and sold at market price (not NAV) throughout the day on the Fund’s Primary Listing Exchange. There can be no assurance that an active trading market for shares of a fund will develop or be maintained. Transactions in shares of ETFs will result in Brokerage commissions and will generate tax consequences. There are risks associated with investing, including possible loss of principal.

Shares of ETFs may be sold throughout the day on the exchange through any brokerage account. However, shares may only be purchased and redeemed directly from the funds by authorized participants in very large creation/redemption units. There is no assurance that an active trading market for shares of an ETF will develop or be maintained.

The brand DWS represents DWS Group GmbH & Co. KGaA and any of its subsidiaries such as DWS Distributors, Inc., which offers investment products, or DWS Investment Management Americas, Inc. and RREEF America L.L.C., which offer advisory services.

Xtrackers ETFs ("ETFs") are managed by DBX Advisors LLC (the "Adviser"), and distributed by ALPS Distributors, Inc. (“ALPS”). The Adviser is a subsidiary of DWS Group GmbH & Co. KGaA, and is not affiliated with ALPS.

XtrackersTM is a trademark of DWS Group. All other trademarks, servicemarks or registered trademarks are the property of their respective owners. Your use of this site signifies that you accept our Terms & Conditions of Use.