American Family Housing Act
- Bill Number
- H.R. 7186
- Origin Chamber
- House
- Congress
- 119th Congress, Session 2
- Policy Area
- Housing and Community Development
- Status
- Introduced
- Latest Action
- 2026-01-21: Referred to the House Committee on Financial Services.
- Last Updated
- 2026-04-24T08:06:31Z
AI-Generated Summary
Purpose
The "American Family Housing Act" (H.R. 7186) aims to restrict large investment companies and funds from buying single-family homes, with the goal of preserving housing availability for individual families and preventing corporate dominance in the residential real estate market.
Key Provisions
- Effective Date and Core Prohibition: Starting 100 days after the bill becomes law, "large-scale companies" are banned from:
- Directly purchasing any single-family residence, including those sold by the federal government.
- Buying shares (equity securities) in a "qualified issuer" if the purchase would give them more than 49% ownership of that issuer.
- Definitions:
- Large-scale company: A registered investment company or "private fund" (an investment vehicle exempt from full regulation under specific legal exceptions) managing more than $100 billion in assets.
- Qualified issuer: A company or entity that owns more than 100 single-family residences as its main assets.
- Single-family residence: A standalone home designed for one household, with its own walls and utilities; excludes units in condos or co-ops.
Significant Changes to Existing Law
- This bill amends the Investment Company Act of 1940, a law that regulates mutual funds and other investment entities to protect investors.
- It inserts a new Section 12A, introducing the first explicit federal restrictions on these companies' investments in residential real estate. Previously, such entities could freely buy homes or invest in home-owning companies without these limits, as long as they followed general investment rules.
Potential Impacts
- On Citizens: Could increase the supply of single-family homes for individual buyers by curbing bulk purchases by big investors, potentially stabilizing or lowering home prices in competitive markets.
- On Government Agencies: Limits federal sales of single-family properties (e.g., foreclosed homes) to large investors, which might redirect such sales toward families or smaller buyers and affect revenue from asset disposals.
- On Businesses and the Economy: Restricts large-scale companies from expanding into residential real estate, possibly shifting their investments elsewhere; could disrupt "qualified issuers" that rely on investor funding to acquire properties.
- International Relations: No direct effects, though it might indirectly influence foreign investment in U.S. housing if large funds with international ties are affected.
Main Stakeholders Affected
- Large Investment Companies and Private Funds: Those with over $100 billion in assets face new investment barriers, potentially limiting growth in real estate portfolios.
- Individual Homebuyers and Families: Likely beneficiaries, as the bill promotes access to housing for personal use rather than corporate ownership.
- Real Estate Companies ("Qualified Issuers"): Entities holding over 100 single-family homes may struggle to attract majority investments, affecting their business models.
- Federal Government: Agencies handling property sales (e.g., via foreclosure or surplus) must adjust processes to exclude large-scale buyers.
Notable Legal, Constitutional, or Political Implications
- Legal: Enforces restrictions through the Securities and Exchange Commission (which oversees the 1940 Act), potentially leading to enforcement actions or lawsuits over what counts as a "purchase" or "qualified issuer." It targets specific investment behaviors without broadly altering property ownership rights.
- Constitutional: Could raise questions under the Commerce Clause (regulating interstate economic activity) or Takings Clause (if seen as limiting economic use of funds), but focuses on future purchases rather than existing assets, minimizing retroactive issues.
- Political: Reflects debates on housing affordability and corporate influence in everyday markets; by design, it prioritizes family homeownership over institutional investing, which may spark discussions on economic equity without mandating divestment of current holdings.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Rep. Miller, Mary E. [R-IL-15]
Cosponsors (7)
Rep. Boebert, Lauren [R-CO-4], Rep. Carter, Earl L. "Buddy" [R-GA-1], Rep. Harris, Andy [R-MD-1], Rep. McGuire, John J. [R-VA-5], Rep. Barrett, Tom [R-MI-7], Rep. Biggs, Sheri [R-SC-3], Rep. Tiffany, Thomas P. [R-WI-7]
Recent Actions
- 2026-01-21: Referred to the House Committee on Financial Services.
- 2026-01-21: Introduced in House
- 2026-01-21: Introduced in House
Bill Versions
- American Family Housing Act — issued 2026-01-21 — PDF (3 pages)