Wall Street went on a home-buying spree. Now, more lawmakers want to stop it from ever happening again. Democrats in the U.S. Senate and House have sponsored legislation that would force large owners of single-family homes to sell houses to family buyers. A Republican’s bill in the Ohio state legislature aims to drive out institutional owners through heavy taxation. Lawmakers in Nebraska, California, New York, Minnesota and North Carolina are among those proposing similar laws.
Rep. Nikema Williams , from the Atlanta area, in December co-sponsored the End Hedge Fund Control of American Homes Act in the U.S. House. The act "won’t solve all of the problems, but it will definitely make an impact," she said in an interview. Critics of regulation note that many of the largest investors have bought very few or no homes in the past year. "The great trade is done," said John Burns, founder of the eponymous housing research and consulting firm.