The Federal Trade Commission (FTC) is inviting (15 January) public comment on a proposed study to examine the impact of large-scale single-family rental investors, known as mega investors, on housing prices and rents. These mega investors are defined as entities owning over 1,000 single-family rental homes.
The proposed study, enabled by potential 6(b) orders, would collect detailed information from more than 30 mega investors, including data on corporate structure, housing inventory, rental income, fees, and business strategies.
“With housing shortages and rising rents, it’s critical to understand the influence of large institutional investors,” said FTC Chair Lina M. Khan. The study aims to illuminate the role mega investors play in exacerbating housing challenges.
The FTC also plans to publish a comprehensive property list connecting rental properties to their owning entities. Insights from the study could reveal how these investors have shaped housing prices, rents, and industry consolidation.
The rise of mega investors followed the 2007-2008 financial crisis, with an estimated 446,000 single-family rental homes now under their ownership nationwide. Concerns about their market impact have prompted calls for FTC action from policymakers and the public.
Public comments will be accepted on Regulations.gov for 60 days. The FTC encourages feedback on the study’s practicality, data collection methods, and ways to reduce burdens on respondents.
The Commission’s vote to issue the Federal Register notice was unanimous, with a joint statement from Commissioners Andrew N. Ferguson and Melissa Holyoak.
