re: WSJ: Wall Street Has Spent Billions Buying Homes. A Crackdown Is Looming.

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I think the rise in activity from institutional investors into SFHs is worth monitoring but I think it's more of a local market issue. It Atlanta is having an issue with it (which they are) then let GA pass laws.

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I think it just needs to get woven into antitrust law.

I work in healthcare so I'll use that example.

If Company A owns a few hospitals in Dallas, the FTC won't let them buy another. Their market share will be too high and it becomes anti-competitive. But if Company A owns nothing in Houston, they will allow it despite owning a lot in Dallas. It is not a national or even really regional thing, it is a market thing. It is just about setting a ceiling to prevent anti-competitive practices in each market. I think that ceiling should be pretty low. You'd have to look at each market size and set a threshold for % of homes per each investor.

For example, in a defined market if there are 50,000 single family freestanding homes (not including apartments), cap the ownership at 0.1% or 50 homes. Previous ownership is grandfathered in, but subject to the cap going forward (can't buy more), and in a long-term set timeframe they have to divest (20-25 years) as to not rock the boat too much.