On October 21, USA TODAY published an article entitled Investment Firms Look to Single-family Rentals. With the number of vacant, foreclosed properties on the market, investors are striking bulk deals and renting out the homes which might otherwise remain vacant and appealing to criminals.
Investment firms look to single-family rentals
As homeownership rates continue to fall, a new type of single-family home buyer has emerged: large corporate investors.
With house values still depressed in many areas, investment funds and real estate trusts have been scooping up thousands of foreclosures across the U.S. in the hopes of managing houses the same way large real estate funds hold apartment complexes and office buildings.
That trend has accelerated recently as Fannie Mae announced its first two bulk sales of foreclosed homes to investment companies, selling 94 Chicago properties and 699 in Florida to firms that have pledged to rent them for at least three years. The federal mortgage-finance giant expects to sell nearly 2,000 units, the majority of them single-family homes, to stabilize cities hit hard by the housing crisis and to lighten its portfolio of foreclosed houses, which in June numbered about 109,000. Click Here for Full Video/Article (Members Only)