Single-family residence purchases; limitations
The bill amends several sections of the Arizona Revised Statutes related to real estate transactions, notably limiting the number of single-family residences that corporate entities can purchase. In counties with populations exceeding 400,000, corporations and limited liability companies will be restricted to acquiring no more than 100 units per year. Furthermore, it stipulates that corporate buyers can only hold up to 5% of the total single-family residences in any given county. This legislative change is aimed at maintaining residential property availability for personal ownership and mitigating market complexities arising from bulk purchases by corporate entities.
House Bill 2848 introduces significant regulations regarding the purchase of single-family residences in Arizona by corporations and limited liability companies. The bill is designed to curb the increasing trend of corporate entities buying residential properties, which has implications for housing availability and affordability for individual buyers. Specifically, it requires detailed registration of corporations seeking to purchase single-family homes, including the submission of ownership information to the county recorder before a deed can be recorded. Additionally, the deed must explicitly state that the residence is not the primary home of the owner, thereby targeting investment properties rather than personal residences.
Supporters of HB 2848 argue that these measures will help preserve the character of neighborhoods and ensure that homes remain accessible to families and individual buyers, thus fostering community stability. However, there is considerable debate regarding the implications for the housing market and potential backlash from investors who may view these restrictions as an infringement on their property rights. Critics raise concerns that the limitations could deter investment in the housing market, potentially leading to decreased property values in the long term. The bill's provisions intend to create a more regulated market for single-family residences while also supporting the Housing Trust Fund, which aims to provide housing opportunities for low and moderate-income households.