This bill creates a new section in Title 19 RCW and adds to the Washington Consumer Protection Act (amending RCW 19.86.140) to limit large-scale corporate ownership of single-family homes. It prohibits a "business entity" that has an interest in more than 100 single-family residential properties from purchasing or otherwise obtaining additional single-family residential property, and it bars "investment entities" (including REITs and pooled-investor fund managers who owe fiduciaries to investors) from purchasing or otherwise obtaining any single-family residential property. The bill defines "business entity," "investment entity," and "single-family residential property," excludes entities regulated under state or federal banking or finance laws from those definitions, and specifies that "interest" does not include mortgages or ownership gained through foreclosure. The text creates exemptions for specified nonprofit entities and certain types of purchases or acquisitions (the bill text refers to definitions/exemptions). The bill creates a new civil penalty and remedy for violations: up to $100,000 per violation and a requirement that the violator sell the property in violation to an independent third party within one year after a court judgment. It amends RCW 19.86.140 to add this penalty and retains the other civil penalty provisions of that section (including existing penalties for injunction violations, unlawful practices, and enhanced penalties for practices that target or impact people based on listed demographic characteristics). The attorney general and superior courts are identified as enforcement actors, and the bill states sellers, licensed real estate brokers, and title insurers are not liable under the new section for parties’ noncompliance. The extracted text does not explain how to calculate whether an entity "has an interest in more than 100" properties (for example, timing, aggregation across affiliates, or jurisdictional limits), whether the prohibitions apply to properties located outside Washington, or whether there are additional enforcement procedures or definitions elsewhere in the bill or related statutes. The relationship of the December 1, 2022 reporting date shown in the amended RCW text to this act’s enactment or effective dates is not specified in the provided text.

If enacted, the law would stop large institutional owners and pooled-investor real estate entities from buying more single-family homes in Washington once they already own more than 100 such properties, while nonprofit entities and banks are exempt. Those who break the rule would face civil penalties up to $100,000 per violation and would be required by a court to sell the offending property to an independent third party within one year; the attorney general and superior courts would handle enforcement. Sellers, licensed real estate brokers, and title insurers would not be held liable for others' noncompliance. The groups most affected are real estate investment trusts, fund managers pooling investor money, and business entities that already hold large single-family portfolios — they would lose the option to expand those holdings in Washington and face added legal, compliance, and potential divestiture costs and risks. The text does not make clear how to count the “more than 100” threshold (for example, aggregation rules, timing, or whether out-of-state properties count), so firms may face uncertainty about how the limit will be applied in practice.