Nevada Realtors oppose SB 391 citing risks to housing market and property rights

A heated debate unfolded during the Nevada Senate Committee on Judiciary meeting on April 9, 2025, as stakeholders voiced strong opposition to Senate Bill 391, which aims to limit corporate ownership of residential real estate. The bill proposes restricting entities from acquiring more than 100 residential units per year, a move intended to curb corporate consolidation in the housing market.

Azim Jessa, representing the Nevada Realtors, articulated concerns that the bill could have unintended consequences, potentially disrupting the housing market and harming property rights. "While we appreciate the intent behind this bill, we urge the committee to consider the broader implications," Jessa stated. He emphasized that corporate investments are crucial for funding new developments and rehabilitating rundown homes, which ultimately benefit Nevada homeowners.

The discussion highlighted fears that limiting corporate investment could exacerbate housing shortages and hinder the state's ability to meet growing housing demands. Jessa pointed out that many local businesses rely on purchasing distressed properties, rehabilitating them, and selling them back to homeowners. "If this bill passes, we could see homes sold in bulk to corporate entities, bypassing local buyers and impacting the economy negatively," he warned.

Further testimony from Shonene Garren, Douglas County Recorder, echoed these concerns, emphasizing the need for clarity on the responsibilities of recorders in relation to the bill. Garren noted the potential challenges in implementing the proposed regulations, which could complicate the recording process for property transactions.

The committee also heard neutral testimony from Erin Houston of the Nevada Secretary of State's office, who expressed readiness to support the legislation if passed, while John Sandy from the Nevada State Apartment Association raised questions about the bill's implications for multifamily properties.

As the hearing concluded, the committee faced the challenge of balancing the intent to protect housing affordability with the realities of a market that relies heavily on corporate investment. The future of SB 391 remains uncertain as discussions continue, with stakeholders urging careful consideration of its potential impacts on Nevada's housing landscape.