The traditional American Dream of homeownership is under attack. Major financial players like BlackRock, Blackstone, JPMorgan Chase, and others are investing heavily in single-family homes, not to live in, but to rent them out. This creates a significant barrier for average Americans seeking to build wealth through property ownership.

Owning a home has always been a cornerstone of wealth creation. However, the current trend of large corporations buying up residential properties is making homeownership increasingly unattainable for many. This trend is reflected in plummeting housing affordability rates, with a recent Redfin report highlighting that less than 25% of homes listed in 2022 were affordable for the typical American buyer. This issue isn't limited to the US; similar trends of declining affordability are evident in the UK and the Netherlands.

The 2019 Federal Reserve Survey of Consumer Finances revealed that for most American households, their primary residence represents their most valuable asset. Yet, the financial elite are facilitating a massive wealth transfer, further enriching themselves while hindering wealth creation for the average citizen.

The 2008 financial crisis exacerbated this issue. While individuals lost their homes, institutions received bailouts and acquired properties at significantly reduced prices. This, combined with subsequent underbuilding and the influx of cheap capital, created a perfect storm for corporate investors to enter the single-family home market.

These corporate entities possess an unfair advantage, often making all-cash offers, bypassing the mortgage approval process that regular buyers must navigate. In the last quarter of 2021, corporations purchased a staggering 80,000 homes—nearly 18% of all single-family homes sold in that period. This trend continued in 2022, with investors acquiring roughly 22% of all U.S. homes.

This shift toward corporate ownership disproportionately affects younger generations, like millennials, who are finding it harder to achieve the dream of homeownership despite earning more than previous generations at the same age. The result is a widening wealth gap, fueled by policies that favor the already wealthy.

The implications extend beyond just homes, as the elite are also acquiring land and other resources. This trend raises concerns about the concentration of ownership and its potential impact on individual freedoms and economic mobility. It's crucial for individuals to strive for ownership whenever possible, to counteract this growing imbalance of power and wealth.