Rep. Chip Roy Calls for Halt to Corporate and Foreign Ownership of Single-Family Homes

Washington, D.C. – Representative Chip Roy (R-TX) has voiced strong concerns regarding the escalating price of housing, advocating for an immediate halt to corporate and foreign entities purchasing single-family residences. The Texas Congressman specifically questioned the involvement of major corporations, including BlackRock, in the housing market, stating, "We shouldn't have corporate and foreign ownership of our housing supply... I don't know why foreign nationals and major corporations, Blackrock or otherwise, are buying up single family residences. We should stop that."

Rep. Roy has previously introduced legislation aimed at curbing foreign ownership, specifically targeting the Chinese Communist Party (CCP) from acquiring U.S. land. His "Securing America's Land from Foreign Interference Act" was designed to prevent the CCP from controlling strategically valuable domestic assets, citing concerns over foreign investors controlling millions of acres of U.S. farmland, with Texas having significant foreign ownership. He has also linked immigration to housing affordability, suggesting that reducing pressure on housing stock could be a solution.

The issue of institutional investors, such as private equity firms and asset managers, buying single-family homes has garnered increasing attention, particularly since the 2008 financial crisis. These firms often convert purchased homes into rental properties, which critics argue contributes to rising home prices and reduced inventory for individual homebuyers. BlackRock, a prominent asset management firm, has been cited in public discourse regarding institutional investment in residential real estate, though its direct ownership of single-family homes is often a point of debate and clarification, with much of its real estate investment being through funds rather than direct ownership of individual homes.

Data from organizations like the National Association of Realtors indicates that foreign buyers account for a small percentage of overall U.S. existing home sales by volume, but their purchases can be concentrated in certain markets. While foreign ownership of residential properties is a long-standing practice, the recent focus has shifted to the cumulative impact of both foreign and domestic institutional investors on housing affordability and the ability of average Americans to purchase homes. Lawmakers and housing advocates continue to debate potential legislative solutions to address these market dynamics.