What does Preamble of HR 4706 do?

This bill, formally titled 'To prohibit the acquisition and ownership of agricultural land and residential real property by certain foreign entities, and for other purposes,' aims to restrict foreign entities from acquiring agricultural land and residential real property. The bill was introduced in the House of Representatives on July 23, 2025.

What does SHORT TITLE. of HR 4706 do?

This bill is formally titled the Protecting Our Farms and Homes from China Act.

What does DEFINITIONS. of HR 4706 do?

This section defines key terms used throughout the Act. “Agricultural land” includes land used for farming, ranching, or timber production, food processing, or idle land previously used for those purposes within the last five years. “Farming, ranching, or timber production” and “food processing” are defined by references to the Standard Industrial Classification Manual (1987). A “covered foreign entity” includes corporations incorporated in the People's Republic of China, entities affiliated with the Chinese Communist Party, and entities owned or controlled by such entities or individuals. “Noncompete agreement” is defined as an agreement restricting an employee's work after termination, potentially based on time, location, or job similarity. “Secretary” refers to the Secretary of Agriculture. “State” means each of the several States of the United States. “Territory” includes the District of Columbia, Puerto Rico, the U.S. Virgin Islands, Guam, the Northern Mariana Islands, and American Samoa. “United States agricultural land” is defined as agricultural land located within a State or territory.

What does PROHIBITION OF ACQUISITION, LEASING, OR OWNERSHIP OF UNITED of HR 4706 do?

This section prohibits covered foreign entities from acquiring or leasing interests in United States agricultural land. Covered foreign entities currently owning or leasing such land must sign a letter of intent to divest within 180 days of the Act's enactment and fully divest within one year. Violations of the prohibition or divestment requirements are subject to fines of $100 per acre per day. Violations may also result in criminal penalties, including fines under Title 18 of the United States Code, imprisonment for up to 5 years, or both. Agricultural land acquired or leased in violation of the Act is subject to forfeiture to the United States and will be sold at public auction. Noncompete agreements between covered foreign entities and their employees related to agricultural land are nullified. The Secretary, in coordination with the Attorney General, must issue guidance and regulations to implement the Act within 180 days of enactment. The Secretary will establish an office within the Department of Agriculture to monitor compliance and impose fines.

What does TEMPORARY PROHIBITION ON PURCHASING RESIDENTIAL REAL ESTATE. of HR 4706 do?

This section establishes a temporary prohibition on purchases of residential real estate by covered foreign entities. The 'covered period' begins on the date of enactment and initially lasts two years, but can be extended by the President. Residential real estate is defined to include single-family homes, condominiums, townhouses, and other multi-unit dwellings, as well as land zoned for residential development. Covered foreign entities are prohibited from purchasing residential real estate during the covered period. Entities must divest themselves of any existing ownership of residential real estate within one year of the Act's enactment. The Secretary of Commerce is responsible for fining entities that violate the prohibition, with penalties of $1,000 per day of violation. The Attorney General can enforce the Act, including seizing assets and seeking injunctive relief. The President can extend the covered period in two-year increments. The Secretary will issue guidance and regulations for implementation and establish an office to monitor compliance and impose fines. The Secretary must submit a report to Congress detailing the impact of the prohibition on the residential real estate market and housing affordability.

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Protecting Our Farms and Homes from China Act — HR. 4706

Last updated: 7/23/2025 · Introduced: 7/23/2025

Author: Mary Miller (R-IL)

TL;DR (AI)

This bill prohibits covered foreign entities, including those linked to China, from acquiring or leasing interests in United States agricultural land and mandates divestment for existing holdings within one year, subject to significant fines and potential criminal penalties.
The bill temporarily prohibits covered foreign entities from purchasing residential real estate for an initial two-year period, with potential extensions by the President, and requires divestment of existing holdings within one year.
To enforce these restrictions, the bill establishes offices within the Department of Agriculture and the Department of Commerce to monitor compliance, issue guidance, and impose fines, while also empowering the Attorney General to seek legal remedies.

119th Congressin committeeOfficial page

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Includes provisions on preamble, short title., and 3 more.

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