One way to get housing and housing services inflation down without causing deflation to other economic sectors would be to impose limits on foreign purchases of domestic homes. My suggested limit is that non-use citizens should be limited to two or less domestic properties within the US. In California particularly, we have seen 1 in 3 purchases of home since 2015 has been completed by a foreign person or foreign domiciled entity. This has dramatically skyrocketed the home prices in California as well as constrained inventory available for domestic individuals and families. This would not be a radical move as Mexico, Canada, and many European countries impose similar limitation on foreign real estate transactions.
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