Florida Legislators Target Out-of-State Investors with New Housing Bill
A new bill filed in the Florida State Legislature aims to curb the influence of large, multi-national investment companies on the state’s housing market. House Bill 401, introduced by State Rep. Berny Jacques, seeks to protect Floridians from escalating home prices driven by bulk purchases of single-family homes by investors.
Key Takeaways
- HB 401 proposes allowing local governments to zone land specifically for single-family housing, thereby restricting large corporations from acquiring extensive housing stock for permanent rental conversion.
- The bill’s sponsor argues this measure will create a more equitable playing field for individual Floridian homebuyers and help mitigate future price surges.
- The National Rental Home Council has voiced opposition, contending the bill limits rental choices and restricts housing opportunities for families.
- A crucial requirement for the bill’s progression is the establishment of a companion bill in the Florida Senate, which has not yet been filed.
Addressing Housing Price Spikes
State Rep. Berny Jacques stated that the bill is designed to address the issue of reduced housing supply, which directly correlates with increased costs for ordinary Floridians. He pointed to the housing crash of 2008 and the recent pandemic as periods where significant real estate investment firms acquired thousands of homes, contributing to years of rising prices for residents.
Opposition and Concerns
The National Rental Home Council has publicly criticized HB 401. In a statement, the council argued that the bill unfairly targets renters and reduces housing options. "This bill seems to be nothing more than a blatant attempt to prevent renters from having the right to live in certain communities," the council stated. "Why would it ever make sense for the state to reduce the range of housing opportunities available for families in Florida? We need more choice in housing not less."
Current Market Trends
While the bill aims to prevent future price increases, recent data indicates a cooling of Florida’s housing market. Realtor.com reports that median housing prices across the state have seen a decrease of 4-6% since the pandemic.
Sources
- Florida housing bill to target out-of-state investors, Bay News 9.
- Florida housing bill to target out-of-state investors, Spectrum News 1.