Stop Wall Street Landlords Act of 2026

Increased Affordable Housing Supply: Funds collected from the excise tax on large investors will be deposited into the Housing Trust Fund to increase and preserve rental housing for extremely low- and very low-income families, including homeless families (Section 4).

Tax Relief for Individual Homeowners: The bill includes exceptions so that the disallowance of deductions does not apply to a single-family home used as the principal residence of a specified large investor who is an individual (Section 2(d)(1)).

Support for Original Builders: Tax deductions are preserved for single-family homes that were originally constructed or substantially rehabilitated by the taxpayer (Section 2(d)(2)).

Exemption for Specific Entities: The restrictions on deductions do not apply to governmental entities or certain tax-exempt 501(c)(3) organizations (Section 2(b)(3)).

Financial Burden on Large Investors: Specified large investors—defined as those with aggregate assets exceeding $100,000,000—will no longer be allowed to deduct mortgage interest or depreciation on single-family homes (Section 2(a)).

Tax on Property Sales: A new excise tax will be imposed on the sale or transfer of single-family homes by specified large investors, equal to the sale price of the home (Section 3(a)).

Reduced Access to Federal Mortgage Support: Federal enterprises like Fannie Mae and Freddie Mac will be prohibited from newly purchasing or lending on mortgages where the mortgagee is a specified large investor (Section 5(a)).

Restrictions on Ginnie Mae Guarantees: The Association will be prohibited from newly guaranteeing payments or acquiring mortgages where the mortgagee is a specified large investor (Section 5(b)).