New Legislative Efforts to Curb Corporate Ownership of Single-Family Homes
In a move to tackle the escalating housing crisis, Senator Raphael Warnock has introduced a bipartisan initiative aimed at limiting the acquisition of single-family homes by large corporations. Atlanta, noted as a critical hotspot, sees over 25% of its single-family rental properties owned by private equity firms and out-of-state investors.
Warnock emphasized, “This is a bipartisan piece of legislation that will bring the cost of housing in our country down. There’s no secret that we are in a housing crisis in our country.” He revealed these plans during a virtual press conference, highlighting the urgent need for action.
The proposed legislation, part of the ROAD to Housing Act, intends to cap corporate ownership at 350 homes. Companies exceeding this limit could face substantial penalties, up to $1 million or three times the home’s purchase price, whichever is higher.
Addressing the broader housing shortage, Warnock pointed out that the nation currently lacks about five million housing units. He also noted a concerning trend: “We are at a moment in our country where the average age of a first-time home buyer is 40, age 40. That is unacceptable. It has a real impact on the lives of real people and their families and their children. This is an important first step in beginning to answer that.”
