MS SB2870

Denies Mississippi state income tax deductions for interest payments and depreciation on single-family rental properties owned by institutional investors holding 50 or more such homes, effective for tax years beginning December 31, 2026

Defines "institutional real estate investor" as pension funds, insurance companies, university endowments, asset managers, and REITs investing over $1,000,000 annually, including all corporate, partnership, and LLC entities

Exempts properties sold to individuals for primary residence use or to qualified nonprofit organizations focused on affordable housing from the deduction prohibition

Exempts newly constructed properties built by the taxpayer or acquired before any unit was occupied by a resident

Defines "single-family residential rental property" as properties containing four or fewer dwelling units and related improvements