"Investors can build or buy any type of new single-family rental housing including build-to-rent homes in traditional for-sale subdivisions, as well as BTR communities. This would allow homebuilders to continue to do pre-sale agreements with SFR operators, thereby maximizing total supply creation."
"Investors can buy and rent out homes needing substantial structural repairs, protecting homes that traditional homebuyers are unlikely to buy. Specifically, the bill exempts homes that do not meet local building codes for structural / core systems OR that do not meet standards to qualify for a conventional mortgage. This is critical, as Urban Institute research has documented challenges for individual homebuyers to buy such homes."
"Section 901 would require new BTR communitiesparticularly single-family homes and duplexesto be sold to individual homeowners within seven years of completion. This provision has already frozen capital flow into the BTR sector and significantly constrained new development, industry stakeholders say. These provisions targeting BTR received significant pushback in the House, therefore stalling the legislation."
"With the amended legislation, House leadership seems to have met those members' demands. Housing advocates are already signali"
Investors can build or buy new single-family rental housing, including build-to-rent homes in traditional for-sale subdivisions and dedicated BTR communities. Homebuilders can use pre-sale agreements with single-family rental operators to maximize total supply creation. Investors can also purchase and rent homes needing substantial structural repairs, protecting housing that traditional buyers are unlikely to purchase. The exemptions cover homes that do not meet local building codes for structural or core systems and homes that do not qualify for conventional mortgages. The bill’s earlier Senate version included an institutional investor ban and a BTR requirement that new BTR communities be sold to individual homeowners within seven years, which constrained capital flow and development. Pushback from House members led to amendments that address those concerns.
#single-family-rentals #build-to-rent-btr #housing-policy #investor-exemptions #mortgage-and-building-code-standards
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