119-s2668

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 2668 Introduced in Senate

    (IS) ]

<DOC>

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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