The HOPE for Homeownership Act introduces new excise taxes and modifies tax deductions for certain investment entities owning single-family residences. Its primary goal is to discourage large-scale institutional ownership of residential properties by imposing financial penalties. Specifically, the bill imposes an excise tax on hedge fund taxpayers for each newly acquired single-family residence, equal to the greater of 15% of the purchase price or $10,000. Furthermore, an annual excise tax of $5,000 per unit is levied on applicable taxpayers who fail to reduce their existing portfolios of single-family residences according to a set schedule. This schedule mandates a gradual reduction in holdings over nine years, aiming for zero units for hedge funds and a maximum of 50 units for other applicable taxpayers after nine years. The bill defines an "applicable taxpayer" as an entity like a partnership, corporation, or REIT that manages pooled funds, with "hedge fund taxpayers" being those with $50 million or more in assets under management. Sales to other businesses or individuals already owning a single-family residence are considered "disqualified sales" and do not count towards reducing the required holdings. To further disincentivize such ownership, the bill also disallows deductions for mortgage interest and depreciation on single-family residences for any owner liable for these new excise taxes. These provisions apply to taxable years beginning after the Act's enactment.