U.S. Sens. Elizabeth Warren (D-MA) and Jeff Merkley (D-OR) led a group of Senate Democrats in introducing legislation that seeks to end tax breaks and other housing benefits for corporate home buyers.
The American Homeownership Act would end corporate tax breaks and other benefits for buying up housing and invest the savings from ending tax breaks to build more housing, lower costs, and promote homeownership.
“America is in a housing crisis – and we need to tackle it from every angle. I’ve introduced the biggest bipartisan housing supply reform in decades. Today Democrats are introducing legislation to stop Wall Street from snapping up homes in bulk and jacking up rent for families,” Warren said. “This bill will take on predatory landlords while making investments to increase housing supply and boost homeownership for Americans.”
The lawmakers said that private equity and Wall Street investment firms are exacerbating the housing crisis by snapping up large numbers of houses. They said that Wall Street firms own nearly 450,000 single-family homes, more than 2.2 million apartments, and are the biggest landlords of mobile homes in America. Further, they said corporate landlords bought nearly 1 in every 6 homes that sold in 2025 while the share of first-time home buyers reached an all-time low.
“Hedge funds are driving up home prices and rents across America as they gobble up single-family homes. They are a significant factor in killing the dream of home ownership and must be stopped,” Merkley said. “Even President Trump has acknowledged the problem. I’ll work with anyone, on either side of the aisle, who is serious about driving down home prices and rents.”
The American Homeownership Act is co-sponsored by Sens. Amy Klobuchar (D-MN), Tina Smith (D-MN), Richard Blumenthal (D-CT), Cory Booker (D-NJ), Tammy Duckworth (D-IL), Dick Durbin (D-IL), Martin Heinrich (D-NM), Mazie Hirono (D-HI), Tim Kaine (D-VA), Andy Kim (D-NJ), Edward Markey (D-MA), Christopher Murphy (D-CT), Brian Schatz (D-HI), Bernie Sanders (I-VT), Adam Schiff (D-CA), Chris Van Hollen (D-MD), and Peter Welch (D-VT).
“Republicans in Congress and Donald Trump have set up the current tax code to incentivize and reward corporate landlords and private equity to swoop in and buy up affordable homes across the country with all-cash offers that regular people can’t compete with. Why is our economic system rigged in favor of these corporations and wealthy investors who don’t need our help, and not designed to help working families? I’m glad to be joining Senator Warren and my colleagues to introduce this important bill to address housing affordability for regular Americans. Instead of delivering returns for Wall Street, we’re focused on making sure families looking to buy homes can find a place within their budget.” Smith said.
The bill is endorsed by American Economic Liberties Project, American Federation of Teachers, Americans for Financial Reform, Communications Workers of America, Consumer Action, Grounded Solutions Network, National Community Reinvestment Coalition, National Housing Law Project, National Low Income Housing Coalition, and Private Equity Stakeholder Project.