New Bill Aims to Protect Family Homebuyers in North Carolina

North Carolina Republican Rep. Pat Harrigan is set to introduce a bill designed to protect single-family homes from being purchased by institutional investors, as reported. The proposed legislation, known as the “Families First Housing Act of 2026,” comes in the wake of a statement by former President Donald Trump, who urged Congress to establish protections against large investors acquiring single-family properties.

The bill finds a co-sponsor in Democratic New York Rep. Josh Riley, according to a congressional spokesperson. Its main goal is to make sure families have the first chance to buy federally assisted housing, rather than letting institutional investors swoop in.

To achieve this, the legislation includes a 180-day “look-ahead period” that prioritizes families when it comes to purchasing single-family homes, which may be owned, foreclosed, or managed by federal agencies like the Federal Housing Administration and Fannie Mae, among others.

The bill stipulates that if an employee at one of these agencies fails to adhere to the first-look period, they must report the violation publicly, face a fine of $100,000 or one-third of the sale price, and the sale must be canceled unless the contract has been breached.

Additionally, the law requires each agency to maintain a public website listing eligible properties, the number sold to qualified buyers, pricing methods, and the ratio of sale prices to market values.

Trump commented on the issue, reflecting a sense of urgency in protecting the American Dream of homeownership, which he claims is slipping from reach for many, particularly younger Americans. He criticized the current economic environment and pledged immediate action to ban institutional buyers from acquiring more single-family homes.

Harrigan echoed these sentiments, noting that many young families are struggling to attain homeownership. He pointed out that only about 30% of Americans under 35 own homes today, a significant decline from previous generations. This, he argues, isn’t due to a lack of effort from individuals but rather the overwhelming competition posed by large financial firms.

As of 2022, large institutional investors own approximately 18% of single-family homes in Charlotte and 13% in Raleigh, and that figure continues to rise, according to a report from the U.S. General Accounting Office.

Harrigan concluded by stating, “People live in homes, not businesses. Institutional investors should not overshadow families. The Families First Act, which I introduced alongside Josh Riley, aims to ensure federally supported housing is directed toward families, not Wall Street.”