The rules right now are setup to benefit a few entities owning most of the real estate,

Strange then, that this has not occurred.

They currently own 4.7mm out of ~75mm homes. It’s just more in Cali, which is probably where the person you heard this from lives.

Here’s an article warning against the practice with data

https://www.nytimes.com/2020/03/04/magazine/wall-street-landlords.html