New York Cracks Down on Big Investors—More Homes for Families

New York Governor Kathy Hochul is taking action to help make homeownership more affordable and accessible for individuals and families by proposing a 75-day waiting period before private equity firms can buy single-family and two-family homes.

Gov. Hochul Pushes 75-Day Waiting Period to Help New Yorkers Buy Homes

Hochul’s plan aims to stop big investors from snatching up homes and driving up prices to try and help everyday buyers have a fair shot before institutional investors make cash offers. Hochul Said in her press release:

“We need to level the playing field and make sure that institutional investors are not taking away opportunities from individuals and families who have spent their lives saving to become homeowners. I am always committed to taking action to ensure that homeownership becomes more attainable for New Yorkers.”

What’s in the Plan?

• Private equity firms with 10 or more properties and $50 million+ in assets must wait 75 days before purchasing additional homes.
• Tax loopholes closed – no more depreciation tax benefits or excessive interest deductions for corporate investors.
• Strict penalties – firms that break the rule could face fines up to $250,000 per illegal offer.

The Problem: Investors are Pricing Out Families in New York State

Large investment firms currently own over 500,000 homes nationwide, buying properties at inflated prices and either renting them out or reselling them for profit. In Rochester, a Canadian firm recently bought 39 homes for nearly $2 million, paying 30% over market value and outpricing local buyers. Estimates predict that private equity firms could control 40% of the single-family rental market by 2030, making homeownership even harder for everyday New Yorkers.

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By slowing down corporate takeovers, Hochul’s plan aims to make homes more affordable, stabilize the housing market, and give New Yorkers a fair chance to buy.