Florida Lawmakers Remain Silent as Corporations Snatch Thousands of Homes

September 3, 2024 – A staggering new trend has emerged in Florida, where corporate investors have acquired thousands of single-family homes across the state. According to an analysis by the Tampa Bay Times, these companies now own more than 117,000 homes, leaving many wondering about the implications for individual homebuyers and community dynamics.

Critics argue that this surge in corporate buying is squeezing out would-be homeowners and allowing corporations to exert greater control over neighborhoods. Proponents, on the other hand, see it as a means of providing more single-family rental options for residents who cannot afford to buy.

The trend has its roots in Florida’s explosive population growth and lax renter protections, which allowed corporate investors to capitalize on the situation. Experts note that the pace of buying accelerated in 2021, when mortgage interest rates were low and many people moved to the state. While the rate may have slowed down since then, experts anticipate that the trend will continue at a slower pace.

One particularly striking statistic is that investment firms tied to Wall Street and private equity own over 10% of Florida’s single-family rentals. This concentration of power has raised concerns about accountability and community representation.

To illustrate this trend, consider The Enclave at Twin Rivers in Parrish, where builder Lennar Homes sold around 100 homes to Invitation Homes, an investment company. This gave the firm a controlling share of the neighborhood, leading some residents to express frustration with the situation.

Florida lawmakers have remained mum on the issue, leaving many wondering about their stance on this trend and its potential impact on the state’s housing market.

Source: Tampa Bay Times