California Gov. Gavin Newsom is following President Trump’s lead by calling for a shutdown on institutional investors from purchasing single-family homes.
The San Jose Mercury News reports 3% of California’s single-family homes are owned by large companies, according to a 2024 study by the nonpartisan California Research Bureau. A bill banning corporate buying and selling single-family homes has previously passed in the state assembly but died in the state Senate after intense lobbying from real estate agents and the California Apartment Association.
Newsom’s office did not acknowledge Wednesday’s announcement by Trump that he would seek a ban on corporate acquisition of single-family homes. Instead, it framed the announcement of having Newsom as a change agent for affordability.
“The fact is that large investors are purchasing homes faster than families can buy them,” said the governor’s office in a statement. “The governor believes that working families shouldn’t be competing with large, well-capitalized investors.”
Photo: Gage Skidmore / Flickr Creative Commons
