House File 2386 - Introduced HOUSE FILE 2386 BY WICHTENDAHL A BILL FOR An Act related to city regulation of single-family residential 1 property. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 TLSB 5492YH (2) 91 ms/js
H.F. 2386 Section 1. Section 414.1, subsection 1, Code 2026, is 1 amended by adding the following new paragraph: 2 NEW PARAGRAPH . i. (1) A city may require the first 3 purchaser of a single-family residential home in a new housing 4 development to physically occupy the home for one year after 5 the purchase of the home. 6 (2) The city may charge the owner of a single-family 7 residential home a fine for a violation of subparagraph (1). 8 The fine may not be greater than one-fourth of the fair market 9 value of the home. 10 (3) A city ordinance adopted under this section shall 11 include an exemption allowing the owner to sell or transfer 12 the property within the one-year occupancy period of required 13 occupancy if the sale is a good-faith sale. 14 (4) For purposes of this paragraph: 15 (a) “New housing development” means any housing that is 16 being sold for the first time on the market including housing 17 that is newly constructed as part of a development agreement 18 between the city and a developer. 19 (b) “Occupy” means to physically reside in and use a 20 property as a home, residence, or sleeping space. 21 EXPLANATION 22 The inclusion of this explanation does not constitute agreement with 23 the explanation’s substance by the members of the general assembly. 24 This bill allows a city to require the first purchaser of 25 a single-family residential home in a new housing development 26 to physically occupy the single-family residential home 27 for one year after the purchase of the home. The city may 28 charge the owner of a single-family residential home a fine 29 for a violation of the bill. The bill includes a good-faith 30 exemption for an owner seeking to sell the house in the 31 one-year occupancy period. The bill defines “new housing 32 development” to mean any housing that is being sold for the 33 first time on the market including housing that is newly 34 constructed as part of a development agreement between the 35 -1- LSB 5492YH (2) 91 ms/js 1/ 2
H.F. 2386 city and a developer. The bill defines “occupy” to mean to 1 physically reside in and use a property as a home, residence, 2 or sleeping space. 3 -2- LSB 5492YH (2) 91 ms/js 2/ 2