Last week on the Not Your Average Investor Show, Pablo and I discussed Trump’s 401k executive order.
The headlines sounded exciting: retirement accounts finally opening up beyond just stocks and bonds, with alternatives like private equity, crypto, and even real estate entering the mix.
And that’s a good thing! It shows recognition that long-term wealth doesn’t have to live only in the stock market.
But here’s the catch: real estate isn’t being offered in the way most people think. Instead of direct ownership, it mostly shows up through Wall Street fund structures, adding more layers between investors and the asset itself.
So yes, it’s progress, but it also raises a question: how much control do investors really have?
The Diversification in 401ks
The executive order is being promoted as diversification. And on paper, that’s true, investors now have more options than before.
But more options don’t automatically equal more control. For now, most of the access goes first to large institutional funds, and everyday investors who want direct ownership of real assets are still waiting their turn.
👉 What this “new diversification” really looks like for investors.
Why Housing Still Holds the Key
If this reform gets people thinking differently about retirement portfolios, that’s already progress. It normalizes the idea that stocks and bonds aren’t the only way to build wealth.
And in that bigger picture, housing continues to stand out because of what it provides all at once:
- Cash flow today through rental income.
- Wealth growth tomorrow through long-term appreciation.
- And it’s tied to one of the most basic human needs: a place to live.
And the numbers prove just how important this is:
- The median age of homebuyers is now 56, up from 31 in 1981, showing how affordability has shifted.
- Younger families are increasingly renters first, which only strengthens rental demand.
- Workforce housing isn’t just another investment; it’s infrastructure that communities depend on.
The next generation is feeling this most. Many families can’t help their kids buy homes outright, but investing in housing today can create stability, even in inflationary periods, that benefits both current and future generations.
👉 The data that proves housing is still essential.
The Tools Investors Can Use Right Now
Here’s the good news: you don’t have to wait for Washington to rewrite the rules.
The tools are already here. With a self-directed IRA, you can use retirement savings to buy rental properties right now. And with turnkey providers, the process is simple; you get the benefits of real estate without needing to go through Wall Street funds.
The real barrier? Awareness. Too many investors don’t know this option already exists. That’s why education matters just as much as policy.
Plenty of people in our community are already taking advantage of it. They’re quietly building portfolios that:
- Send them income every month.
- Grow their long-term wealth.
- And create security for their families.
Not Your Average Insight: The Difference Between Access and Control
👉 The reason JWB chose direct ownership.
When new doors open, it’s worth asking: who gets to benefit first?
In this case, it’s large funds. That’s progress in some ways, but it doesn’t always translate directly to families who want more control over their financial future.
And that’s why, for the last 20 years, JWB has focused on a different approach. Our belief has always been simple: direct ownership of single-family workforce housing.
Direct ownership means:
- Control stays with the investor.
- Fewer layers stand between you and your returns.
- And you’re part of an asset class America needs most: housing for working families
And here’s the key: when you keep that control, you keep more of the return too. That’s how you build long-term wealth for your family, while also making an impact on the families who need housing today.