[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 2668 Introduced in Senate (IS)]
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119th CONGRESS
1st Session
S. 2668
To protect consumers from price gouging of residential rental and sale
prices, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
August 1, 2025
Ms. Rosen introduced the following bill; which was read twice and
referred to the Committee on Banking, Housing, and Urban Affairs
_______________________________________________________________________
A BILL
To protect consumers from price gouging of residential rental and sale
prices, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Housing Oversight and Mitigating
Exploitation Act of 2025'' or the ``HOME Act of 2025''.
SEC. 2. DEFINITIONS.
In this Act:
(1) Affordable housing crisis period.--The term
``affordable housing crisis period'' means the period during
which the prohibition under section 3(a)(1) applies in the
United States.
(2) Secretary.--The term ``Secretary'' means the Secretary
of Housing and Urban Development.
(3) Single-family housing.--The term ``single-family
housing'' means a residence consisting of 1 to 4 dwelling
units, but does not include a dwelling unit in a condominium or
cooperative housing project.
(4) United states.--The term ``United States'' includes
each of the 50 States, the District of Columbia, and any
territory or possession of the United States.
SEC. 3. UNCONSCIONABLE PRICING OF RESIDENTIAL RENTAL AND SALE PRICES
DURING AFFORDABLE HOUSING CRISES.
(a) Unconscionable Pricing.--
(1) Prohibition.--If the Secretary publishes in the Federal
Register a determination that the United States is experiencing
an affordable housing crisis, it shall be unlawful, during the
affordable housing crisis period, for any person to rent a
dwelling unit or sell any single-family housing in the United
States at a price that--
(A) is unconscionably excessive; and
(B) indicates the lessor or seller is exploiting
the circumstances related to an affordable housing
crisis to increase prices unreasonably.
(2) Considerations for affordable housing crisis
determination.--For purposes of determining whether the United
States is experiencing an affordable housing crisis, the
Secretary shall consider--
(A) the interest rates applicable to mortgage
loans;
(B) the effective Federal funds rate;
(C) the refinance rates applicable to mortgage
loans, including for fixed-fixed loans, fixed-variable
loans, and variable-fixed loans;
(D) the median rental home price in the United
States;
(E) the median home sale price in the United
States;
(F) the median household income in the United
States; and
(G) the declaration of a major disaster or
emergency under the section 401 or 501, respectively,
of the Robert T. Stafford Disaster Relief and Emergency
Assistance Act (42 U.S.C. 5170, 5191).
(3) Duration.--The prohibition described in paragraph (1)--
(A) may not apply for a period of more than 30
consecutive days, but may be renewed for such
consecutive periods, each not to exceed 30 days, as the
Secretary determines appropriate; and
(B) may apply for a period of time not to exceed 1
week before a reasonably foreseeable affordable housing
crisis period.
(4) Factors considered.--
(A) In general.--In determining whether a person
has violated paragraph (1), there shall be taken into
account, among other factors, the aggravating factors
described in subparagraph (B) and the mitigating factor
described in subparagraph (C).
(B) Aggravating factors.--The aggravating factors
described in this subparagraph are the following:
(i) Whether the amount charged by such
person grossly exceeds the average price at
which the housing unit was offered for rental
or sale by such person during--
(I) the 30-day period before the
date on which the determination that
the area is experiencing an affordable
housing crisis was made under paragraph
(1); or
(II) another appropriate benchmark
period, as determined by the Secretary.
(ii) Whether the amount charged by such
person grossly exceeds the price at which the
same or a similar housing unit was readily
obtainable for rental or purchase in the same
area from other sellers during the affordable
housing crisis period.
(C) Mitigating factor.--The mitigating factor
described in this subparagraph is whether the quantity
of any housing dwelling units such person made
available for rental or sale in an area covered by the
affordable housing crisis period during the 30-day
period following the date on which the affordable
housing crisis period was determined increased over the
quantity such person made available for rental or sale
during the 30-day period before the date on which the
affordable housing crisis period was determined, taking
into account any usual seasonal demand variation.
(5) Advance notice.--The Secretary shall provide advance
notice prior to the publication of the determination under
paragraph (1) for persons to comply with the prohibition
described in paragraph (1).
(b) Affirmative Defense.--It shall be an affirmative defense in any
civil action or administrative action to enforce subsection (a), with
respect to the renting out or sale of housing by a person, that the
increase in the rental or sale price of such housing reasonably
reflects additional costs that were paid, incurred, or reasonably
anticipated by such person, or reasonably reflects additional risks
taken by such person, to rent or sell such housing unit under the
circumstances.
(c) Rule of Construction.--This section may not be construed to
cover a transaction on a futures market.
(d) Enforcement.--
(1) HUD.--The Secretary shall enforce violations of
subsection (a) of this section--
(A) in the same manner, by the same means, and with
the same jurisdiction, powers, and duties as the
Federal Trade Commission has under the Federal Trade
Commission Act (15 U.S.C. 41 et seq.) with respect to
violations of a rule defining an unfair or deceptive
act or practice prescribed under section 18(a)(1)(B) of
such Act (15 U.S.C. 57a(a)(1)(B)); and
(B) as though all applicable terms and provisions
of the Federal Trade Commission Act (15 U.S.C. 41 et
seq.) were incorporated into and made a part of this
section, except that any reference in such terms and
provisions to the Commission shall be treated as
referring to the Secretary.
(2) Enforcement at retail level by state attorneys
general.--
(A) In general.--If the chief law enforcement
officer of a State, or an official or agency designated
by a State, has reason to believe that any person has
violated or is violating subsection (a), the chief law
enforcement officer, official, or agency of the State,
in addition to any authority it may have to bring an
action in State court under its laws, may bring a civil
action in any appropriate United States district court
or in any other court of competent jurisdiction to--
(i) enjoin further such violation by such
person;
(ii) enforce compliance with such
subsection;
(iii) obtain civil penalties; and
(iv) obtain damages, restitution, or other
compensation on behalf of residents of the
State.
(B) Notice.--The State shall serve written notice
to the Secretary of any civil action under subparagraph
(A) before initiating such civil action. The notice
shall include a copy of the complaint to be filed to
initiate such civil action, except that if it is not
feasible for the State to provide such prior notice,
the State shall provide such notice immediately upon
instituting such civil action.
(C) Authority to intervene.--Upon receipt of the
notice required by subparagraph (B), the Secretary may
intervene in such civil action and upon intervening--
(i) be heard on all matters arising in such
civil action; and
(ii) file petitions for appeal of a
decision in such civil action.
(D) Construction.--For purposes of bringing any
civil action under subparagraph (A), nothing in this
paragraph shall prevent the chief law enforcement
officer of a State from exercising the powers conferred
on the chief law enforcement officer by the laws of
such State to conduct investigations or to administer
oaths or affirmations or to compel the attendance of
witnesses or the production of documentary and other
evidence.
(E) Limitation on state action while federal action
is pending.--If the Secretary has instituted a civil
action or an administrative action for violation of
subsection (a), a chief law enforcement officer,
official, or agency of a State may not bring an action
under this paragraph during the pendency of that action
against any defendant named in the complaint of the
Secretary or another agency for any violation of this
Act alleged in the complaint.
(F) Rule of construction.--This paragraph may not
be construed to prohibit an authorized State official
from proceeding in State court to enforce a civil or
criminal statute of such State.
(e) Low-Income Housing Assistance.--
(1) Deposit of funds.--Amounts collected in any penalty
under subsection (d)(1) shall be deposited in the Housing Trust
Fund established under section 1338 of the Federal Housing
Enterprises Financial Safety and Soundness Act of 1992 (12
U.S.C. 4568).
(2) Use of funds.--To the extent provided for in advance in
appropriations Acts, the amounts deposited in the Fund shall be
used to increase and preserve the supply of rental housing
affordable to extremely low- and very low-income families,
including homeless families, in accordance with section 1338 of
the Federal Housing Enterprises Financial Safety and Soundness
Act of 1992 (12 U.S.C. 4568).
(f) Effect on Other Laws.--
(1) Other authority of federal housing administration.--
Nothing in this section may be construed to limit the authority
of the Secretary under any other provision of law.
(2) State law.--Nothing in this section preempts any State
law.
SEC. 4. HUD INVESTIGATION AND REPORT ON HOUSING PRICES.
(a) Investigation.--
(1) In general.--The Secretary shall conduct an
investigation to determine if the prices for rental housing
units or sale of single-family housing are being manipulated by
reducing housing capacity or by any other form of market
manipulation or artificially increased by price gouging
practices.
(2) Consideration.--In conducting the investigation under
paragraph (1), the Secretary may consider the impact of mergers
and acquisitions in the real estate industry, including mergers
and acquisitions involving developers, managers, owners, and
investors.
(b) Report.--
(1) In general.--Not later than 270 days after the date of
enactment of this Act, the Secretary shall submit to the
Congress a report on the investigation conducted under
subsection (a).
(2) Contents.--The report shall include--
(A) a long-term strategy for the Department of
Housing and Urban Development and the Congress to
address manipulation of rental housing markets and
markets for sale of single-family housing, and in
preparing the strategy the Secretary shall utilize data
on race, gender, and socioeconomic status; and
(B) a description and analysis of how non-occupant
investors in single-family housing impact underserved
communities.
(c) Exemption From Paperwork Reduction Act.--Chapter 35 of title
44, United States Code, shall not apply to the collection of
information under subsection (a).
(d) Authorization of Appropriations.--There is authorized to be
appropriated to the Secretary to carry out this section $1,000,000 for
fiscal year 2024.
SEC. 5. HOUSING COST MONITORING AND ENFORCEMENT WITHIN HUD.
(a) In General.--The Secretary shall establish within the
Department of Housing and Urban Development the Housing Monitoring and
Enforcement Unit (in this section referred to as the ``Unit'').
(b) Duties of the Unit.--
(1) Primary responsibility.--The primary responsibility of
the Unit shall be to assist the Secretary in protecting the
public interest by continuously and comprehensively collecting,
monitoring, and analyzing rental housing market data, data for
markets for sale of single-family housing, and data on
investor-owned, non-owner occupied housing units, in order to--
(A) support transparent and competitive market
practices;
(B) identify any market manipulation, including by
collecting and analyzing data on race, gender, and
socioeconomic status, any reporting of false
information, any use of market power to disadvantage
consumers, or any other unfair method of competition;
and
(C) facilitate enforcement of penalties against
persons in violation of relevant statutory
prohibitions.
(2) Specific duties.--In order to carry out the
responsibility under paragraph (1), the Unit shall assist the
Secretary in carrying out the following duties:
(A) Receiving, compiling, and analyzing relevant
buying and selling activity in order to identify and
investigate anomalous market trends and suspicious
behavior.
(B) Determining whether excessive concentration or
exclusive control of housing-related infrastructure may
allow or result in anti-competitive behaviors.
(C) Obtaining a data-sharing agreement with State
and local jurisdictions, housing agencies, and relevant
public and private data sources to receive and archive
information on housing purchases by institutional
investors within a given area.
SEC. 6. INVESTIGATIONS OF EXCESSIVE HOUSING PURCHASES.
The Secretary shall monitor purchases of single-family housing in
each housing market area in the United States, as determined by the
Secretary, to determine whether any single purchaser of such housing,
including any purchaser that is an institutional investor, is
purchasing an excessive amount of such housing made available for sale
in any such market area. If the Secretary determines that any single
purchaser has purchased more than 5 percent of the single-family
housing made available for sale in any market area over a 3-year
period, or if, in aggregate, large institutional investors have
purchased more than 25 percent of the single-family housing made
available for sale in any market area over a 1-year period, the
Secretary shall conduct an investigation to determine the purposes of
and circumstances involved in such purchases, including price gouging,
market manipulation, and unfair investment practices that drive
homeowners out of the market.
SEC. 7. IDENTIFICATION OF UNFAIR SCREENING PRACTICES.
The Secretary, the Federal Trade Commission, and the Bureau of
Consumer Financial Protection shall jointly--
(1) carry out a program to collect information to identify
practices that unfairly prevent applicants and tenants of
rental housing from accessing or staying in housing, including
the establishment and use of tenant or applicant background
checks, the use of algorithms in tenant screenings, the
provision of adverse action notices by landlords and property
management companies, and the use of information regarding
tenant income sources; and
(2) submit a report to the Congress annually describing the
information collected under the program carried out pursuant to
paragraph (1).
SEC. 8. LIMITATION ON FANNIE MAE AND FREDDIE MAC INVESTMENTS.
Subpart A of part 2 of subtitle A of the Federal Housing
Enterprises Financial Safety and Soundness Act of 1992 (12 U.S.C. 4541
et seq.) is amended by adding at the end the following new section:
``SEC. 1329. LIMITATION ON ENTERPRISE INVESTMENTS.
``The Director shall, by regulations issued after notice and
opportunity for interested parties to comment at a public hearing,
establish standards and criteria for the purchase by the enterprises of
mortgages on multifamily rental housing as the Director considers
necessary to ensure basic renter protections and prevent egregious rent
increases for tenants in such housing.''.
SEC. 9. REVIEW OF ANTI-COMPETITIVE BEHAVIORS.
The Attorney General and the Federal Trade Commission shall jointly
conduct a review to identify any anti-competitive behaviors in the
single-family housing and residential rental markets, including anti-
competitive information sharing, and not later than 1 year after the
date of enactment of this Act shall submit a report to the Congress
setting forth the findings of such review.
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