Bill > SB0242

This bill introduces the "Homes not Hedge Funds Act," which aims to restrict business entities from purchasing more than 100 single-family homes in counties with populations over 150,000 for rental purposes. The legislation is designed to address concerns about housing market manipulation and preserve opportunities for individual homeownership. Specifically, the bill defines key terms such as "person" (which includes business entities like corporations and limited liability companies) and "single-family home" (a detached or semi-detached residential structure). It makes it unlawful for a person, including their affiliates, to purchase single-family homes beyond the 100-home limit in qualifying counties if the properties are primarily intended for rental purposes. The bill provides enforcement mechanisms, allowing the attorney general and individual citizens to bring civil actions against violators. Potential penalties include civil fines of up to $100 per day per home, compensatory and punitive damages (up to $50,000 or three times the compensatory damages), and the possibility of equitable relief. The legislation reflects the state's recognition of homeownership as a crucial wealth-building mechanism and seeks to balance the interests of business property investors with the economic benefits of widespread individual home ownership. The act takes effect immediately upon becoming law and applies to home purchase contracts entered into on or after that date.

Government Affairs

https://wapp.capitol.tn.gov/apps/Billinfo/default.aspx?BillNumber=SB0242&ga=114