Rep. Pat Harrigan, R-N.C., this week introduced the Families First Housing Act, aimed at giving American families priority access to federally backed foreclosed single-family homes before large investors and hedge funds can purchase them.
The bill came amid growing concern over housing affordability and the expanding role of institutional investors in residential real estate.
Federal data shows that while no investor owned more than 1,000 single-family rental homes in 2011, institutional ownership surged to an estimated 170,000 to 300,000 homes by 2015, accelerating during and after the COVID-19 pandemic.
In fast-growing Sun Belt markets, investors now account for a significant share of home purchases, tightening supply and driving up prices.
Those concerns were echoed Wednesday by President Donald Trump, who warned that large investors are pricing families out of the housing market.
"For a very long time, buying and owning a home was considered the pinnacle of the American Dream," Trump wrote on Truth Social. "It was the reward for working hard and doing the right thing, but now that American Dream is increasingly out of reach for far too many people, especially younger Americans."
Harrigan noted that homeownership among Americans under 35 has fallen to about 30%, roughly half the rate of a generation ago.
He cited data in North Carolina showing investors owned about 18% of single-family homes in Charlotte and 13% in Raleigh as of 2022.
The Families First Housing Act would establish a standardized 180-day "first look" period allowing families, nonprofits, local governments, and community land trusts exclusive access to eligible single-family homes held or foreclosed on by federal housing entities. Institutional investors would only be allowed to bid after that period expires.
The bill also includes new transparency requirements for home sales and authorizes penalties for employees who unlawfully bypass the first-look protections.
Harrigan said the measure is a starting point and urged bipartisan cooperation on broader reforms to restore access to homeownership and "put families back at the center of the housing market."
James Morley III ✉
James Morley III is a writer with more than two decades of experience in entertainment, travel, technology, and science and nature.
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