HOPE (Humans over Private Equity) for Homeownership Act

Key Points

• Adds a new federal tax on big investment funds when they buy a single-family home: 15% of the purchase price or $10,000, whichever is higher.
• Sets yearly limits on how many existing single-family homes these investors can keep, pushing them to sell more over time; a $5,000 tax applies for each home above the limit.
• Treats certain “sales” as not really reducing holdings if the home is sold to a business or to a person who already owns another single-family home.
• If an investor owes the new housing tax for the year, the bill also blocks them from taking federal tax breaks tied to those homes, like mortgage interest and depreciation deductions.
• Defines which owners are covered, mainly funds that manage pooled investor money; “hedge fund” coverage starts at $50 million or more in assets under management.

News