Housing Market

[TigerGrowls]

This would be incredibly great news for American citizens especially young people.



Blackrock and Vanguard Stocks are about to be blocked from buying and inflating the housing market.


Hedge funds' Encroachment on the Housing Market Faces Potential Ban through Proposed Legislation.


A comprehensive new bill introduced by U.S. Senator Jeff Merkley and Washington Rep. Adam Smith aims to curb the acquisition of single-family homes by hedge funds, private equity firms, and investment trusts. The legislation, known as the "End Hedge Fund Control of American Homes Act," proposes a ten-year plan requiring these entities to divest completely from single-family home ownership. Large funds would be mandated to sell off 10 percent of their homes annually over the specified period.


The bill further empowers the Internal Revenue Service to impose taxes on funds that fail to comply with the divestment requirements. Co-sponsored by U.S. Representatives Nikema Williams and Linda Sánchez in the House, and Senator Tina Smith in the Senate, the legislation has gained support from advocacy groups such as the Private Equity Stakeholder Project, Consumer Action, and the National Consumer Law Center.


The bill defines a hedge fund as partnerships, corporations, or real estate investment trusts amassing $50 million or more in net value or assets under management. Nonprofits and construction-focused companies are exempt from these regulations. Fines and taxes are proposed for funds failing to report purchases or divest within the stipulated timeframe, with penalties contributing to a housing down payment trust fund.


Merkley and Smith reference data from an Urban Institute report indicating a significant increase in single-family home ownership by hedge funds and institutional investors from 2011 to June 2022. The surge, particularly notable in Black and Latino neighborhoods, has become more pronounced during the pandemic, with 28 percent of homes sold in 2022 reportedly going to institutional investors. The bill addresses concerns about potential consequences, such as limiting access to affordable housing and promoting a generation of lifelong renters, while emphasizing the need for Congress to act promptly in support of safe and accessible homeownership for American families.

 

[Jjh7]

if blackrock et al want an asset...they'll own the asset. will just result in the market creating some new fad way to title home ownership that gets around the law.

they'll throw their hands up and say this will devastate the economy, the politicians they bankroll will get the optics and mic drop quotes....and nothing will change.

 

[PalmettoTiger1]

if blackrock et al want an asset...they'll own the asset. will just result in the market creating some new fad way to title home ownership that gets around the law.

they'll throw their hands up and say this will devastate the economy, the politicians they bankroll will get the optics and mic drop quotes....and nothing will change.

Amen

 

[TigerGrowls]

Not good.

 

[TigerGrowls]

Want to know why housing prices are unaffordable?

1) Low interest money printing by the Federal Reserve the past few years

2) BlackRock, WEF banks, and hedge funds intentionally buying up single family homes so “you’ll own nothing and be happy” by 2030

3) Record illegal alien invasion - those people gotta sleep somewhere!

Banning hedge funds from buying our family homes will be a huge boost for middle class families

I normally wouldn’t support gov’t intervention in the free market like this, but BlackRock has become a monopoly and they are *intentionally* trying to hurt American families

Screw ‘em, let’s fight back

Pass the End Hedge Fund Control of American Homes Act

 

[scotchtiger]

The housing market’s resilience has been interesting to watch. House next door to some friends just sold for $4.05M. No view, not on the water. Renovated home in a desirable area. Very nice home, but not something spectacular.

House across the Wando from us was just purchased in cash for $10.5M. I knew the owner. They had just moved in after a long design/build. Unsolicited cash offer shortly after.

All this trickles down because the “rich” people who would normally be buying houses in certain classes are being priced out by mega bucks. So you see people paying millions for basic Mt. Pleasant homes and younger people are forced to pay $800K+ for starter homes.

Far bigger impact than illegal aliens mentioned above, who aren’t buying middle class homes.

And I would have thought this would have cooled off with interest rates, but apparently not.

 

[scotchtiger]

I’m a free market guy, but I’m on board with the government checking these mega funds from buying up residential real estate. And also limiting foreign ownership. Home ownership is a fundamental tenant of American success and deserves some protection.

Now, I don’t think there should be any limits on little ole scotchtiger adding to my modest real estate portfolio…

 

[WapPride]

I’m a free market guy, but I’m on board with the government checking these mega funds from buying up residential real estate. And also limiting foreign ownership. Home ownership is a fundamental tenant of American success and deserves some protection.

Now, I don’t think there should be any limits on little ole scotchtiger adding to my modest real estate portfolio…

Agreed 100% with all of this. Home ownership is one of the building blocks of a strong middle class, and right now we have an entire generation essentially being blocked from owning homes.

 

[yoshi121374]

Totally agree on limiting these Real Estate Investment Groups. And I say that whole fully realizing that I have a decent amount of my portfolio invested in a similar real state group and this will probably hurt me.

 

[scotchtiger]

Totally agree on limiting these Real Estate Investment Groups. And I say that whole fully realizing that I have a decent amount of my portfolio invested in a similar real state group and this will probably hurt me.

I have investments in multiple commercial REITs limited to accredited investors, but those don’t compete with residential. I’m also in a large residential LLC, but the way it’s structured, it doesn’t really compete either. I do own around 10 rental properties with a couple of partners, but I’m not sure those compete either. Few if any of our tenants would be qualified home buyers.

So I feel pretty secure in saying that it’s the mega funds inflicting the main damage on the housing market. As long as regulation is focused there, is well-contained and doesn’t drift beyond that specific scope, it should be broadly popular.

 

[LaniKaiTiger]

View embedded media

Want to know why housing prices are unaffordable?

1) Low interest money printing by the Federal Reserve the past few years

2) BlackRock, WEF banks, and hedge funds intentionally buying up single family homes so “you’ll own nothing and be happy” by 2030

3) Record illegal alien invasion - those people gotta sleep somewhere!

Banning hedge funds from buying our family homes will be a huge boost for middle class families

I normally wouldn’t support gov’t intervention in the free market like this, but BlackRock has become a monopoly and they are *intentionally* trying to hurt American families

Screw ‘em, let’s fight back

Pass the End Hedge Fund Control of American Homes Act

One of the fronts I believe both parties can and should work together.

 

[yoshi121374]

I have investments in multiple commercial REITs limited to accredited investors, but those don’t compete with residential. I’m also in a large residential LLC, but the way it’s structured, it doesn’t really compete either. I do own around 10 rental properties with a couple of partners, but I’m not sure those compete either. Few if any of our tenants would be qualified home buyers.

So I feel pretty secure in saying that it’s the mega funds inflicting the main damage on the housing market. As long as regulation is focused there, is well-contained and doesn’t drift beyond that specific scope, it should be broadly popular.

Honestly I'm not sure which group I'm invested with since I generally leave that account to my planner. Hopefully it's similar lol.

 

[dpic73]

The housing market’s resilience has been interesting to watch. House next door to some friends just sold for $4.05M. No view, not on the water. Renovated home in a desirable area. Very nice home, but not something spectacular.

House across the Wando from us was just purchased in cash for $10.5M. I knew the owner. They had just moved in after a long design/build. Unsolicited cash offer shortly after.

All this trickles down because the “rich” people who would normally be buying houses in certain classes are being priced out by mega bucks. So you see people paying millions for basic Mt. Pleasant homes and younger people are forced to pay $800K+ for starter homes.

Far bigger impact than illegal aliens mentioned above, who aren’t buying middle class homes.

And I would have thought this would have cooled off with interest rates, but apparently not.

My aunt recently sold her 5 bedroom home that bordered the golfcourse at Shadowmoss Country Club in W, Ashley, though she had a really hard time selling it and had to drop the price a couple times before she found a buyer, even though the golf course was her backyard. So it seems the housing market has cooled on the other side of the river.

 

[scotchtiger]

My aunt recently sold her 5 bedroom home that bordered the golfcourse at Shadowmoss Country Club in W, Ashley, though she had a really hard time selling it and had to drop the price a couple times before she found a buyer, even though the golf course was her backyard. So it seems the housing market has cooled on the other side of the river.

Interesting. I don't really follow the local market outside of Mt. Pleasant. My wife exclusively sells real estate over here and most of our friends are here. I do acknowledge that it's a bubble over here (and so is Daniel Island), so trends may be different elsewhere.

 

[WapPride]

My aunt recently sold her 5 bedroom home that bordered the golfcourse at Shadowmoss Country Club in W, Ashley, though she had a really hard time selling it and had to drop the price a couple times before she found a buyer, even though the golf course was her backyard. So it seems the housing market has cooled on the other side of the river.

I probably broke 55 of her windows growing up playing that course

 

[CUT93]

The housing market’s resilience has been interesting to watch. House next door to some friends just sold for $4.05M. No view, not on the water. Renovated home in a desirable area. Very nice home, but not something spectacular.

House across the Wando from us was just purchased in cash for $10.5M. I knew the owner. They had just moved in after a long design/build. Unsolicited cash offer shortly after.

All this trickles down because the “rich” people who would normally be buying houses in certain classes are being priced out by mega bucks. So you see people paying millions for basic Mt. Pleasant homes and younger people are forced to pay $800K+ for starter homes.

Far bigger impact than illegal aliens mentioned above, who aren’t buying middle class homes.

And I would have thought this would have cooled off with interest rates, but apparently not.

Part of the lack of impact in the homes you mention is that interest rates do not impact that market to the same degree - see your 10.5M cash sale as an example. If you are paying cash, interest rates don't matter.

 

[dpic73]

I probably broke 55 of her windows growing up playing that course

What is your name? 😂

 

[firegiver]

omg everyone agrees! That can only mean it won't happen.

 

[WapPride]

What is your name? 😂

i am lucas glover

 

[fatpiggy]

 

[yoshi121374]

View embedded media

So people made bad decisions and bought high during an inflationary market and now that inflation is stabilizing they lost value?

Not sure why I should feel bad for them?

 

[TigerGrowls]

"44% of all single family home purchases in 2023 were by private equity firms"

"AKA: BlackRock"

"They are creating a world where ownership is impossible"

"You want to know why you can't buy a house? Because they are being bought up by BlackRock"

"They're trying to destroy the family structure"

 

[TigerGrowls]

WE NEED MORE ATTENTION ON THIS 🚨 America Is Being Turned Into The Land Of Renters

“JPMorgan is about to spend $1 billion on hundreds of rental homes across the US on the way to becoming a megalandlord.”

America Citizens Can Not Compete With Financial Firms For Home Ownership

“You know, since the government, the Biden administration, is betraying the American people, big banks betraying American people, everybody, big businesses betraying the American people, everybody is betraying the American people.

But guess what? The American people don't mind. You don't mind? Because they always think things are gonna get better and sometimes, in some occasions, things just don't get better. And this administration that's in power now, this Democrat party organization, tyrannical party, you think that because a Republican party comes in, it's going to be the same thing.

And I do believe under Donald Trump, things can change. But under Joe Biden, that BRICS program is going to really destroy American and American dollar, which is going to make it that United States can't recover or regain power. I pray to them wrong. But also too, when it comes to middle class and

Home ownership in America. Yeah, the banks, the banks, like I said, they betrayed us too. And that's the reason why all these big banks and BlackRock and all these investors, big investors are buying up all these properties. And, but I don't think people might be putting everything together because did you ever think that these big banks could be buying up these neighborhoods like that so that they can allow?

The migrants, the illegal aliens to actually move in these properties without proper documentation because they don't have income and then turn around and then have the government fun.

illegal aliens and migrants where they can move these people in these homes and then turn around and make sure that the electric is paid, the water is paid, and also feeding them that you don't need homeless shelters because there's not that many homeless shelters that can actually hold all these illegal immigrants that are coming over and in the illegal immigrants defense. I must say they did get an invitation to come to America by the Biden administration.

But let me say this, it wasn't just the Biden administration. You have former presidents, big businesses, Hollywood, everybody was helping them come. So now that they will be here, now the banks are gonna take over and we're gonna have all these different social programs to make sure that they're okay. Wow, isn't that the greatest way to usher in socialism?

—- Democrats are gonna focus on making sure you stay right there. Big banks are buying up America to allow the immigrants to live in these houses undocumented.”

 

[TigerGrowls]

America Is Being Transformed Into The Land Of Renters. Corporations Buying Up All Our Homes & Skyrocketing Rent Prices

“Starter Homes Are No Longer For Sale, Only Rent”

“Georgia's housing crisis. — 19,000 homes, not apartments, homes in the metro, are owned by 3 companies. That's nearly 1 in every 9 houses up for rent and some entire suburban neighborhoods where corporations own it all.”

“This is important because it drives up prices for everyone.”

“Meaning that homes that you see like this one that would originally been a starter home about a decade or so ago are now for lease. Signs in front yard showing not a home for sale, but for rent. — These properties are single family homes owned by corporations, not people.”

 

[dpic73]

View embedded media

America Is Being Transformed Into The Land Of Renters. Corporations Buying Up All Our Homes & Skyrocketing Rent Prices

“Starter Homes Are No Longer For Sale, Only Rent”

“Georgia's housing crisis. — 19,000 homes, not apartments, homes in the metro, are owned by 3 companies. That's nearly 1 in every 9 houses up for rent and some entire suburban neighborhoods where corporations own it all.”

“This is important because it drives up prices for everyone.”

“Meaning that homes that you see like this one that would originally been a starter home about a decade or so ago are now for lease. Signs in front yard showing not a home for sale, but for rent. — These properties are single family homes owned by corporations, not people.”

 

[fatpiggy]

“It’s easy to look at the economy and realize that something has gone horribly wrong. Working people, the middle class, and small businesses have been losing ground over the past 20 years. The goose that lays the golden eggs for our country has been kicked around and squeezed to the point where laying more golden eggs is almost impossible. Consider that since 2000 the cost of food has risen more than double the rise in average household income. The cost of a home has risen 6 times and the amount of government spending 5 and a half times. The S&P 500 has gone up 9 times more than the rise in average household income. To everyone who works and is trying to do the right thing for their family, to everyone who is young and wonders why their lives are worse than their parents: you are not wrong.”