Bill · S. 788· Senate(119-S-788)
HOPE (Humans over Private Equity) for Homeownership Act
- Introduced
- 2/27/2025
- Last activity
- 2/27/2025 — Read twice and referred to the Committee on Finance.
- Sponsored by
- Jeff Merkley
- Cosponsors
- - 4 - 0
- Introduced
- In Committee
What this bill would do
The HOPE (Humans over Private Equity) for Homeownership Act seeks to amend the Internal Revenue Code of 1986. It imposes an excise tax on hedge fund taxpayers when they acquire new single-family residences. The bill also imposes a tax on applicable taxpayers who hold more than a specific number of single-family residences. These maximum limits decrease over several years. Additionally, the act disallows deductions for mortgage interest and depreciation for certain owners.
Yes· 3 of 7
Does this raise taxes on the highest earners?+8
The bill increases the tax burden on hedge fund taxpayers and large property owners through new excise taxes and the disallowance of deductions.
Does this raise the taxes companies pay?+7
The bill imposes new excise taxes on hedge fund taxpayers and other applicable entities for acquiring and holding excess single-family residences.
Does this make housing cost less?+5
The bill aims to increase housing availability by discouraging large hedge funds from holding vast amounts of single-s-family residences.
The opposite
Would high-income households be better off under this?-5
Wealthy investors and hedge funds face higher taxes and lost deductions under this legislation.
Would business owners be better off under this?-3
Real estate investment entities and hedge funds face new taxes and restrictions on deductions.
Does this make it easier to run a small business?-2
The bill targets large-scale property owners and hedge funds, which may impact real estate investment businesses.
Who it would affect, and how
Potential Positive Impacts for People
-
Reduction in single-family residence holdings by hedge funds: The bill imposes a tax on taxpayers who fail to reduce their number of single-family residences over time. For hedge fund taxpayers, the maximum permissible units decrease from 90 percent of the original amount down to 0 percent over nine years (Section 2, SEC. 5000F).
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Taxation on new acquisitions: Hedge fund taxpayers would face a tax on the acquisition of any newly acquired single-family residence equal to the greater of 15 percent of the purchase price or $10,000 (Section 2, SEC. 5000E).
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Disallowance of certain deductions for specific owners: The bill prevents certain owners from taking deductions for mortgage interest on acquisition indebtedness or for depreciation related to single-family residences (Section 3, SEC. 3).
Potential Negative Impacts for People
-
Financial burden on hedge fund taxpayers: Hedge funds acquiring new single-family residences must pay a tax equal to the greater of 15 percent of the purchase price or $10,000 (Section 2, SEC. 5000E).
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Tax on excess holdings: Applicable taxpayers may be taxed $5,000 for every residence they own above the maximum permissible units for that taxable year (Section 2, SEC. 5000F).
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Loss of tax deductions: Owners liable for the new excise tax are not allowed to deduct mortgage interest on acquisition indebtedness or depreciation for their single-family residences (Section 3, SEC. 3).
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Hover a score for the reason it gave.
- Economy And Finance
- Increases Wealthy Taxes+8Increases Corporate Taxes+7Improves Small Business Support-2
- Social Issues And Justice
- Improves Affordable Housing+5
- Demographic And Interest Groups
- Good For Low Income Households+4Good For Middle Class Households+3Good For Urban Residents+3Good For High Income Households-5Good For Business Owners-3
- Governance And Ideology
- Improves Government Transparency+1
- 2/5/2026
- 1 Cosponsor added.
- 2/27/2025
- Read twice and referred to the Committee on Finance.
- 5 Cosponsors added.
- Introduced in Senate
One bill Congress.gov lists as related to this one — companions in the other chamber, earlier versions, and bills this one absorbed or was folded into.
Ruben GallegoDemocrat · Arizona
Martin HeinrichDemocrat · New Mexico
Mark KellyDemocrat · Arizona
Angus KingIndependent · Maine
Bernie SandersIndependent · Vermont
Chris Van HollenDemocrat · Maryland