Revises provisions relating to real property. (BDR 10-84)

REQUIRES TWO-THIRDS MAJORITY VOTE (§ 2) EXEMPT
(Reprinted with amendments adopted on May 27, 2025)
SECOND REPRINT S.B. 391

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SENATE BILL NO. 391–SENATOR NEAL

MARCH 17, 2025
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Referred to Committee on Judiciary

SUMMARY—Revises provisions relating to real property.
(BDR 10-84)

FISCAL NOTE: Effect on Local Government: May have Fiscal Impact.
Effect on the State: Contains Appropriation not included
in Executive Budget.

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EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

AN ACT relating to real property; limiting, with certain exceptions,
the total aggregate number of units of residential real
property in this State that may be purchased in any 1
calendar year by certain corporate investors; requiring ,
with certain excepti ons, certain corporate investors in
residential real property in this State to register with the
Securities Division of the Office of the Secretary of State
each time before purchasing a unit of residential real
property; authorizing the Attorney General t o bring
certain actions; requiring the Secretary of State to
establish requirements for the form and contents of an
instrument that creates a life estate; prohibiting a county
recorder from recording certain deeds and documents
under certain circumstances; and providing other matters
properly relating thereto.
Legislative Counsel’s Digest:
Section 2 of this bill provides, with certain exceptions, that: (1) the total 1
aggregate number of units of residential real property in this State that may be 2
purchased in any 1 calendar year by corporations, limited -liability companies and 3
any affiliates of such entities must not exceed 100 units; and (2) a corporation, 4
limited-liability company or affiliate of such an entity is prohibited from purchasing 5
any unit of res idential real property in this State if, as a result of the purchase, the 6
total aggregate number of units of residential real property purchased in this State 7
during the current calendar year by any corporations, limited -liability companies 8
and affiliates of such entities would exceed 100 units. 9
Section 2 also requires the Securities Division of the Office of the Secretary of 10
State to create and maintain a registry of corporations, limited -liability companies 11

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and any affiliates of such entities that purchase or own residential real property in 12
this State. Section 2 requires, with certain exceptions, a corporation, limited -13
liability company or any affiliate of such an entity to register with the Securities 14
Division each time before the entity purchases any unit of residential real property 15
in this State. Section 2 exempts from that requirement a corporation, limited -16
liability company or affiliate of such an entity that owns less than 10 units of 17
residential real property in this State. Section 2: (1) authorizes the Secretary of 18
State to charge a fee to each s uch corporation, limited-liability company or affiliate 19
of such an entity; and (2) requires the Secretary of State to adopt regulations 20
necessary to carry out the provisions of section 2. For the purposes of section 2, the 21
term “corporation” does not inclu de a family trust company or a housing authority. 22
Section 3.5 of this bill authorizes the Attorney General, upon the request of the 23
Secretary of State, to bring an action against an entity that violates or proposes to 24
violate the provisions of section 2 to obtain an injunction or other equitable relief 25
appropriate to ensure compliance with or enforce the provisions of section 2. 26
Existing law sets forth the requirements for recording certain documents that 27
relate to real property. (NRS 111.312) Section 5 of this bill prohibits a county 28
recorder from filing a deed for a unit of residential real property purchased by a 29
corporation, limited-liability company or affiliate of such an entity unless the entity 30
submits to the county recorder for recording, concurre ntly with the deed to be 31
recorded, a copy of the certificate of registration for that purchase issued by the 32
Secretary of State pursuant to section 2. Section 5 requires a county recorder to 33
provide to the Secretary of State upon request certain information relating to the 34
requirement imposed by section 2. 35
Section 4 of this bill requires the Secretary of State to adopt regulations 36
establishing requirements for the form and contents of any instrument that creates a 37
life estate. Section 5 prohibits a county recorder from recording a document that is 38
such an instrument unless the document complies with those requirements. 39

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN
SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. Chapter 111 of NRS is hereby amended by adding 1
thereto the provisions set forth as sections 2 to 4, inclusive, of this 2
act. 3
Sec. 2. 1. Except as otherwise provided in subsection 2: 4
(a) The total aggregate number of units of residential real 5
property in this State that may be purchased in any 1 calendar 6
year by corporations, limited -liability companies and affiliates of 7
such entities must not exceed 100 units. 8
(b) A corporation, limited-liability company or affiliate of such 9
an entity shall not purchase any unit of residential real property in 10
this State if, as a result of the purchase, the total aggregate 11
number of units of residential real property purchased in this State 12
during the current calendar year by corporations, limited-liability 13
companies and affiliates of such entities would exceed 100 units. 14
2. The provisions of subsection 1 do not apply to: 15
(a) The intracorporate sale or transfer of units of residential 16
real property; 17

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(b) The sale of newly constructed uni ts of residential real 1
property; 2
(c) The sale of a mobile home or manufactured home; or 3
(d) The sale of an apartment building. 4
3. The Securities Division of the Office of the Secretary of 5
State shall create and maintain a registry of corporations, l imited-6
liability companies and affiliates of such entities that purchase or 7
own residential real property in this State. The Securities Division 8
shall make the registry available on the Internet website of the 9
Office of the Secretary of State. 10
4. Except as otherwise provided in this subsection, a 11
corporation, limited-liability company or affiliate of such an entity 12
must register with the Securities Division of the Office of the 13
Secretary of State each time before the entity purchases any unit 14
of residenti al real property in this State. The requirement to 15
register does not apply to a corporation, limited -liability company 16
or affiliate of such an entity that owns less than 10 units of 17
residential real property in this State. 18
5. The Secretary of State shall issue a certificate of 19
registration to each corporation, limited -liability company or 20
affiliate of such an entity that registers pursuant to this section. 21
6. The Secretary of State may charge a fee to each 22
corporation, limited-liability company or affiliate of such an entity 23
that registers with the Securities Division pursuant to subsection 4. 24
7. The Secretary of State shall adopt any regulations 25
necessary to carry out the provisions of this section. 26
8. As used in this section: 27
(a) “Corporation” does not include: 28
(1) A family trust company, as defined in NRS 669.042. 29
(2) A housing authority, as defined in NRS 315.021. 30
(b) “Limited-liability company” has the meaning ascribed to it 31
in NRS 86.061. 32
(c) “Manufactured home” has the meaning ascribed t o it in 33
NRS 489.113. 34
(d) “Mobile home” has the meaning ascribed to it in 35
NRS 489.120. 36
Sec. 3. (Deleted by amendment.) 37
Sec. 3.5. 1. The Attorney General , upon the request of the 38
Secretary of State, may bring an action in any court of competent 39
jurisdiction against an entity that violates or proposes to violate 40
the provisions of section 2 of this act to obtain an injunction or 41
other equitable relief appropriate to ensure compliance with or 42
enforce the provisions of section 2. 43

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2. The provisions of this section do not abrogate or limit the 1
right of any person to bring any civil action pursuant to any other 2
statute or the common law. 3
Sec. 4. The Sec retary of State shall adopt regulations 4
establishing requirements for the form and contents of any 5
instrument that creates a life estate. 6
Sec. 5. NRS 111.312 is hereby amended to read as follows: 7
111.312 1. The county recorder shall not record with respect 8
to real property, a notice of completion, a declaration of homestead, 9
a restrictive covenant modification form, a restrictive covenant 10
modification document, a lien or notice of lien, an affidavit of death, 11
a mortgage or deed of trust, any conveyance of real property or 12
instrument in writing setting forth an agreement to convey real 13
property or a notice pursuant to NRS 111.3655 unless the document 14
being recorded contains: 15
(a) The mailing address of the grantee or, if there is no grantee, 16
the mailing address of the person who is requesting the recording of 17
the document; and 18
(b) Except as otherwise provided in subsection 2, the assessor’s 19
parcel number of the property at the top left corner of the first page 20
of the docu ment, if the county assessor has assigned a parcel 21
number to the property. The parcel number must comply with the 22
current system for numbering parcels used by the county assessor’s 23
office. The county recorder is not required to verify that the 24
assessor’s parcel number is correct. 25
2. Any document relating exclusively to the transfer of water 26
rights may be recorded without containing the assessor’s parcel 27
number of the property. 28
3. The county recorder shall not record with respect to real 29
property any deed, including, without limitation: 30
(a) A grant, bargain and sale deed; 31
(b) Quitclaim deed; 32
(c) Warranty deed; or 33
(d) Trustee’s deed upon sale, 34
 unless the document being recorded contains the name and 35
address of the person to whom a statement of the ta xes assessed on 36
the real property is to be mailed. 37
4. The assessor’s parcel number shall not be deemed to be a 38
complete legal description of the real property conveyed. 39
5. Except as otherwise provided in subsection 6, if a document 40
that is being recorded includes a legal description of real property 41
that is provided in metes and bounds, the document must include the 42
name and mailing address of the person who prepared the legal 43
description. The county recorder is not required to verify the 44
accuracy of the name and mailing address of such a person. 45

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6. If a document including the same legal description described 1
in subsection 5 previously has been recorded, the document must 2
include all information necessary to identify and locate the previous 3
recording, but the name and mailing address of the person who 4
prepared the legal description is not required for the document to be 5
recorded. The county recorder is not required to verify the accuracy 6
of the information concerning the previous recording. 7
7. Except as otherwise provided in subsection 10, if a 8
corporation, limited-liability company or affiliate of such an entity 9
purchases a unit of residential real property, the county recorder 10
shall not record the deed unless the corporation, limited-liability 11
company or affiliate of such an entity submits to the county 12
recorder for recording, concurrently with the deed to be recorded, 13
a copy of the certificate of registration issued by the Secretary of 14
State pursuant to section 2 of this act for that purchase and the 15
name of the corporation, limited -liability company or affiliate of 16
such an entity on the deed matches the name on the certificate of 17
registration accompanying the deed. 18
8. If a document is an instrument that creates a life estate, the 19
county recor der shall not record the document unless the 20
document satisfies the requirements established by the Secretary 21
of State pursuant to section 4 of this act. 22
9. The county recorder shall provide to the Secretary of State, 23
upon request, any information collec ted by the county recorder 24
relating to the provisions of subsection 7 that the Secretary of 25
State deems necessary to determine whether the purchase of a unit 26
of residential real property by a corporation, limited -liability 27
company or affiliate of such an entity complies with the provisions 28
of section 2 of this act and the regulations adopted pursuant 29
thereto. 30
10. The provisions of subsection 7 do not apply to a 31
corporation, limited-liability company or affiliate of such an entity 32
that owns less than 10 un its of residential real property in this 33
State. 34
11. As used in this section, the terms “corporation” and 35
“limited-liability company” have the meanings ascribed to them in 36
section 2 of this act. 37
Sec. 6. (Deleted by amendment.) 38
Sec. 7. This act becomes effective: 39
1. Upon passage and approval for the purposes of adopting 40
regulations and performing any other preparatory administrative 41
tasks that are necessary to carry out the provisions of this act; and 42
2. On January 1, 2026, for all other purposes. 43

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