California lawmakers want to crack down on corporate ownership of single-family homes [View all]

California Democrats are zeroing in on a fat new target they say is to blame for the housing affordability crisis: Wall Street.

In 2021, 1 in 7 single-family homes was bought by a corporate investor, as deep-pocketed buyers outbid families trying to achieve the American dream of homeownership, which is key to building wealth.

A spike in corporate ownership of single-family homes is happening in pockets around the country, particularly in the Sun Belt, and is one of many factors contributing to record low homeownership among Black people, Latinos and young adults.

It could get worse. An estimated 40% of single-family homes in the country could be owned by financial institutions by 2030, according to a study by industry analyst YardMatrix.

Link (paywall): https://www.sfchronicle.com/politics/article/corporate-landlords-california-housing-18689042.php

-------------------

This story originates from California media, but as the above excerpt states, corporate ownership of single-family homes is far greater in the part of the U.S. referred to as The Sun Belt.

California legislators acknowledged that the problem hasn’t peaked in the Golden State -- those who have introduced bills said they’re trying to intercept efforts before it becomes problematic.

Nationally, Democratic Senate candidates Adam Schiff and Katie Porter (California) have both proposed plans that penalize financial institutions.

At least corporate ownership is on the radar in California, and the state is taking proactive steps to control and/or limit it. Don't know about Arizona, Texas, Florida, Georgia, etc.