Single family residence purchases; limitations
The bill restricts each corporation or limited liability company to acquiring a maximum of 100 single family residences per calendar year. This regulation is intended to curb speculation in real estate by corporate entities, ensuring that housing remains accessible to individual buyers. Smaller entities that own fewer than ten single family residences are exempt from some of these requirements, allowing for a degree of flexibility in the market for small-scale real estate operations. This could help balance the interests of corporate entities and private homeowners.
HB2763 introduces significant regulations around the purchase of single family residences by corporations and limited liability companies in Arizona. The bill aims to prevent excessive corporate ownership of residential properties, which can impact housing availability for individuals and families. Under this legislation, the county recorder is prohibited from recording deeds for properties purchased by such entities unless specific ownership information is disclosed, and the property is identified as a non-primary residence. Additionally, entities must register with the Securities Division before engaging in these transactions.
Debate surrounding HB2763 centers on the implications of limiting corporate purchases of residential properties. Supporters of the bill argue that it is a necessary measure to protect the residential real estate market from being dominated by corporate buyers, which could lead to increased housing prices and reduced availability for regular homebuyers. Critics, however, may contend that the regulations could stifle investment in residential real estate and inhibit potential housing developments, particularly those that could provide affordable housing solutions.