Senate housing bill that takes aim at institutional investors may do little for homebuyers — and could even hurt renters

Banning mega investors from buying single-family homes has accomplished a rare feat in Washington: bipartisan consensus.

Many housing advocates blamed Wall Street firms buying up homes for a post-pandemic surge in housing costs. Now, with an executive order from President Donald Trump and a Senate bill advancing the idea, a ban may soon become reality.

Last month, the Senate passed a bill 89-10 aimed at improving housing affordability, following the House of Representatives’ passage of a narrower version earlier this year. The Senate’s version, backed by Republican Sen. Tim Scott and Democratic Sen. Elizabeth Warren, is designed to spur more home building and lower costs.

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