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" I can't think of a mechanism by which that would happen, especially if there is a hundred-to-one ratio of "international investors" to local buyers."
Intelligent regulation functions when permitted. Mechanism: Regulatory created Right of First Refusal, taxes and accounting practice alteration proposals.
Possible Mechanism(s):
I.) Federal government regulation mandating right of first refusal (opportunity to buy before the large corporations and/or out of state buyers, etc.) to:
A.) Local individuals residing within a 100 mile radius local area.
B.) Individuals with a valid job offer/reassignment seeking housing with the local area, or individuals seeking an employment, or disabled /retired individuals
C.) Individuals seeking medical treatment for themselves or family members.
D.) Individuals with family members nearby.
E.) Any current military personnel or veteran
F.) Any individual intending to occupy the property for a period of no less than 2 years (Also ties into tax code).
From there, perhaps limit to single family homes or create second tier of preference for local corporations (small landlords) with no housing violations or outstanding landlord tenant cases, that is possible. Individuals get first shot to buy; local corporations in good standing get second, then the rest.... In that order....
II.) Property taxes
SALT (State and Local Tax) deduction on federal taxes, which have been a hot button issue typically disfavored by conservatives and favored by liberals.
Mechanism present; modifications possible.
III.) Basis taxes
Provide a lowered credit amount (better basis value for capital gains and lower for property taxes) both federally (capital gains later) and locally (property taxes) in the amount of any credit to individuals.
Create a legal right to sue for individuals who can prove they made an offer but were outbid by a larger non local potential buyer in violation of the right of refusal.
Attorneys fees awarded for the local buyer against the large investment firm if successful. This will give the large firms pause.
Demand (ability and willingness to pay) lowers, as out of state investors are unable (forbidden) to pay until individuals have a shot.
Thus, demand is shrunken, prices fall, and local owner occupied residency is increased, or so goes the goal.
Disagreement expected; proposal valid though perhaps nor your preference.
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