What This Bill Does
This bill would ban foreign persons from buying real estate in the United States for 5 years after the law is passed. The President would need to take whatever actions are necessary to enforce this ban on both public and private property.
Who It Affects
Foreign persons (including foreign nationals, foreign governments, and foreign companies) would be prohibited from purchasing real estate. The President and federal agencies would need to enforce the ban. Congress would receive a report on foreign real estate ownership.
Key Provisions
* The President must prohibit foreign persons from purchasing public or private real estate in the United States for a 5-year period starting when the law takes effect (Sec. 3(a))
* The Comptroller General of the United States must submit a report to Congress within 6 months of the law's enactment that details the history of foreign real estate purchases, provides information on what percentage of US real estate is owned by foreign persons, and offers recommendations to make it easier for US citizens and harder for foreign persons to purchase real estate including farmland (Sec. 3(b)(1))
* The report may be submitted in unclassified form but can include a classified annex (a supplemental section) if needed (Sec. 3(b)(2))
What Changes
Foreign persons would no longer be able to purchase real estate located anywhere in the United States, its territories or possessions. A government report on foreign real estate ownership would be required within 6 months.
Important Definitions
"Foreign person" means any foreign national, foreign government, or foreign entity, or any entity controlled by a foreign national, foreign government, or foreign entity. It includes corporations, partnerships or other associations created under foreign laws and substantially owned by nationals of foreign countries.
Effective Date
The 5-year prohibition period begins on the date the law is enacted. The report must be submitted no later than 6 months after the law is enacted.
I
118TH CONGRESS
1ST SESSION
H. R. 840
To prohibit the purchase of public or private real estate located in the
United States by foreign persons, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
FEBRUARY 6, 2023
Mrs. MILLER of Illinois introduced the following bill; which was referred to
the Committee on Foreign Affairs
A BILL
To prohibit the purchase of public or private real estate
located in the United States by foreign persons, and
for other purposes.
Be it enacted by the Senate and House of Representa-
1
tives of the United States of America in Congress assembled,
2
SECTION 1. SHORT TITLE.
3
This Act may be cited as the ‘‘Saving American
4
Farms from Adversaries Act’’.
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SEC. 2. FINDINGS.
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Congress finds the following:
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(1) Foreign investment in United States farm-
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land has tripled during the past 10 years.
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•HR 840 IH
(2) Foreign companies and individuals have
1
purchased 853,813 acres of agricultural land in Illi-
2
nois. The purchases are worth approximately $6.3
3
billion.
4
(3) Roughly 47 percent of rural renters pay a
5
third or more of their income in rent each month.
6
The Federal Government has done nothing to help
7
rural Americans deal with the rising costs in hous-
8
ing.
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(4) Chinese nationals have led foreign invest-
10
ments in homes in the United States for the past
11
seven years. The Chinese Communist Party is at-
12
tempting to buy land in the United States, with an
13
emphasis on farmland to gain strategic leverage over
14
the United States.
15
(5) Foreign investors now account for almost
16
one-third of institutional investment in single-family
17
rental homes in the United States. This increases
18
the price and makes it more difficult for Americans
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to purchase a home.
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(6) Increased foreign investment in Wash-
21
ington, DC, and other urban areas has led to a rise
22
in gentrification, pushing many long-time residents
23
out of their homes, including some of our most vul-
24
nerable and poor communities.
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(7) Foreigners have been abusing the EB–5
1
visa system, which allows foreign nationals to obtain
2
green cards if they invest in specific business ven-
3
tures. The rules to acquire an EB–5 visa should be
4
made more stringent.
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(8) Current United States laws are designed in
6
a way that makes it more profitable for foreign in-
7
vestors to invest in property in the United States
8
than their country of origin.
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(9) The Foreign Investment Risk Act of 2018
10
strengthened the Committee on Foreign Investment
11
in the United States (CFIUS) by among other meas-
12
ures giving it more jurisdiction over real estate
13
transactions. Specifically, CFIUS now has jurisdic-
14
tion to review purchases and leases of real estate by
15
foreign nationals regardless of whether the trans-
16
actions involve United States businesses. More ac-
17
tion is still needed to make the rules of CFIUS more
18
strict.
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(10) With each additional land purchase made
20
by a foreign national or foreign entity, American
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sovereignty is further eroded.
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SEC. 3. PROHIBITION ON PURCHASE OF PUBLIC OR PRI-
1
VATE REAL ESTATE LOCATED IN THE UNITED
2
STATES BY FOREIGN PERSONS.
3
(a) IN GENERAL.—Notwithstanding any other provi-
4
sion of law, for the 5-year period beginning on the date
5
of the enactment of this Act, the President shall take such
6
actions as may be necessary to prohibit the purchase of
7
public or private real estate located in the United States
8
by any foreign person.
9
(b) GAO REPORT.—
10
(1) IN
GENERAL.—Not later than 6 months
11
after the date of the enactment of this Act, the
12
Comptroller General of the United States shall sub-
13
mit to Congress a report that—
14
(A) details the history of purchases of pub-
15
lic and private real estate located in the United
16
States by foreign persons;
17
(B) provides more information on the per-
18
centage of real estate located in the United
19
States that is owned by foreign persons; and
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(C) offers recommendations to make it
21
easier for United States citizens and harder for
22
foreign persons to purchase real estate located
23
in the United States, including farmland.
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(2) FORM.—The report required by paragraph
1
(1) shall be submitted in unclassified form, but may
2
contain a classified annex if necessary.
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SEC. 4. DEFINITIONS.
4
In this Act:
5
(1) FOREIGN PERSON.—The term ‘‘foreign per-
6
son’’—
7
(A) means—
8
(i) any foreign national, foreign gov-
9
ernment, or foreign entity; or
10
(ii) any entity over which control is
11
exercised or exercisable by a foreign na-
12
tional, foreign government, or foreign enti-
13
ty; and
14
(B) includes a corporation, partnership, or
15
other association—
16
(i) created under the laws of a foreign
17
country; and
18
(ii) substantially beneficially owned by
19
nationals of that foreign country or any
20
other foreign country.
21
(2)
UNITED
STATES.—The
term
‘‘United
22
States’’ means the several States, the District of Co-
23
lumbia, the Commonwealth of Puerto Rico, the Com-
24
monwealth of the Northern Mariana Islands, Amer-
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•HR 840 IH
ican Samoa, Guam, the United States Virgin Is-
1
lands, and any other territory or possession of the
2
United States.
3
Æ
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