Warnock, Dickens tout housing bill in Adamsville

FULL: Mayor Andre Dickens, Sen. Warnock talk about housing

Mayor Andre Dickens and Sen. Warnock held a news conference on Monday to celebrate legislation that will reportedly stop private equity firms from buying single family homes in neighborhoods like Adamsville. 

ATLANTA - U.S. Sen. Raphael Warnock and Atlanta Mayor Andre Dickens gathered in Adamsville on Monday to celebrate a new federal housing measure aimed at limiting the ability of large investment firms to purchase single-family homes.

What we know:

The event focused on legislation authored by Warnock and included in the 21st Century ROAD to Housing Act, a bipartisan package approved by the Senate last week. Warnock was joined by Dickens and Atlanta City Councilmember Andrea Boone in a neighborhood that has seen the effects of rising housing costs and increased corporate ownership.

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The provision backed by Warnock prohibits large investors, including private equity firms, from making bulk purchases of single-family homes. Supporters argue that corporate ownership has made it more difficult for many families to enter the housing market, particularly in metro Atlanta.

More than one in four single-family rental homes in Atlanta is reportedly owned by large corporations. Housing advocates contend that the trend has contributed to higher prices and reduced opportunities for first-time buyers.

Warnock and others have argued that large investment firms have transformed the housing market in many cities by purchasing thousands of homes that might otherwise be available to families.

The housing package expands on legislation Warnock introduced last year that sought to eliminate tax advantages used by major corporations to acquire large numbers of homes. Backers of the broader bill say it will also help local governments increase housing supply, combat blight and encourage homeownership.

More than two dozen housing and community organizations endorsed the measure.