President Biden has announced a plan to curb rising rents by penalizing corporate landlords who increase rents by more than 5% annually.

Landlords who do not comply would risk losing access to valuable tax breaks.

This rule targets landlords with more than 50 units, covering over 20 million units, or about half of the rental market.

The proposal requires congressional approval, which is challenging given the Republican-controlled House and Democratic-controlled Senate.

Biden emphasized that high rent and the unaffordability of homeownership are major issues for working families and young Americans.

He called for corporate landlords to limit rent increases or face losing tax benefits, Fox Business has reported.

The plan exempts new constructions and substantially renovated buildings.

Biden criticized the previous administration for giving tax breaks to corporate landlords and urged Republicans to support his initiative to reduce housing costs for Americans.

Written by B.C. Begley