Posted on 02/26/2023 12:04:17 PM PST by SaxxonWoods
Institutional investors, such as banks and large real estate firms, are on track to own 40% of single-family rentals in the U.S. by 2030, MetLife Investment Management predicted last fall, according to CNBC. National Association of Realtors Chief Economist Lawrence Yun told the Daily Caller News Foundation that the ongoing shortage of housing will make it easier for banks and other Wall Street investors to buy up and rent out single-family homes. “We need to build more homes,” Yun told the DCNF. “Otherwise, institutional investors with deep pockets can corner the single-family rentals market.”
(Excerpt) Read more at dailycaller.com ...
I live in the country. Within the last year hundreds of homes and condos have been built near me. Hardly any are occupied. As a landlord I can tell you that you can’t make a profit by buying and renting a stick-built house or condo. The mortgage rates make it impossible. If the intent is to rent these homes, it is a money loser. Now, if the intent is to make them Section 8 then the intent is for social justice not profit. I stopped by a huge condo development and spoke with the developer. I asked three times how many units were set aside for “affordable housing.” Last time I checked, and it was years ago, the affordable rate was no more than 110k. Three times he dodged the question. In my last planned housing development, it was the affordable people who ruined the neighborhood. The people who could afford to do so moved away.
>Why, why are you mad at someone making money on a investment?
Blackrock et.al. are attempting to corner the market, drive the price up and prevent young people from entering the market. Are you ok with that?
Captialism requires one having a conscience. Otherwise one ends up with the corrupted environment in which we now live.
You will own nothing and be happy (whether you like it or not).
My parents invested in real estate in NYC and NJ, told me all the horror stories and how difficult it was to get a court to side with a landlord. Pacific Heights was a fairy tale compared to some I heard.
Here in PA it's somewhat better but as soon as I turned 18 I began investing in residential properties. Met a lot of landlords, would-be's, and ex-landlords. All of them traumatized by tenants.
I'm a very good advice taker. I buy no more than three at a time, dirt-cheap houses worth fixing, and sell with owner fi. Never had a problem, always made a profit. They never call me to say they choked the toilet, come fix it; went on vacation and their pipes exploded, come fix it; left the stove on, burned the kitchen down, give me a new home and furnishings too. That only happens to landlords.
A lot of people say they've owned rental property and never had a problem. They remind me of people who say their school district is not progressive. Not in my backyard, they say. But play rental roulette and eventually you run out of luck.
Leave landlording to the deep pocket corporations -- and their lawyers.
I get calls & mail every week begging me to “sell my house”.
Last call was definitely NOT a person who had English as a first language.
I finally told him:
I will sell-—
$30 MILLION CASH
ALL IN ONE LUMP SUM
NO DICKERING
HE hung up
It’s called a market, how would you “end” it?
Does this heavy purchasing tie into the story about the cartels LAUNDERING $$$$$$$ thru title deeds, etc in ARIZ-—and Hobbs being part of the effort???
If you say so. But the globalist have already told us that is what they plan to do.
The biggest difference? Home ownership was a means for American families to gain wealth.
You’re ‘forced to save’ by the mere process of paying your mortgage every month. After a number of years you own the house and have wealth to pass on to your children...
Large institutions looked at the long term wealth and decided they wanted a cut of that action.
The process is making tenets more responsible... no one wants to be frozen out of nicer apartments and houses - and that does happen with institutional power... So folks are paying their rent on time and taking care of their units.
On the other hand people who own their homes tend to be more responsible... and neighborhoods stable. We’ll have to see what comes of this - and yeah like you I worry about the grand-kids.
The biggest difference? Home ownership was a means for American families to gain wealth.
You’re ‘forced to save’ by the mere process of paying your mortgage every month. After a number of years you own the house and have wealth to pass on to your children...
Large institutions looked at the long term wealth and decided they wanted a cut of that action.
The process is making tenants more responsible... no one wants to be frozen out of nicer apartments and houses - and that does happen with institutional power... So folks are paying their rent on time and taking care of their units.
On the other hand people who own their homes tend to be more responsible... and neighborhoods stable. We’ll have to see what comes of this - and yeah like you I worry about the grand-kids.
“I hope they get burned, badly burned.”
Why? They are just people doing business under corporate rules. There are hundreds of thousands of them, many are just 3 people, the minimum (President, VP, Treasurer). I had one when I had rentals, my partner was VP, my wife was Treasurer. Were we bad?
They are going to make a fortune, people keep ignoring the fact we have a housing shortage. The rental business has been a good business for centuries. And people who never could have participated will be able to invest in real estate through the REITs that will come out of this.
We need housing and someone has to provide it. If individuals won’t do it, businesses will. We have enough people living in vans and tents.
Enjoy living in your 15 minute cities:
https://freerepublic.com/focus/news/4132358/posts?page=6#:~:text=Solution%3A%2015-Minute%20Cities!
“The investors borrow money from the Feds at discounted rates and if they go belly up the American taxpayer bails them out.
The banks can’t lose.”
That’s not how it works, but it’s a popular fantasy.
I get 3-7 calls a day from low ballers trying to buy my properties. Cant stand it.
It’s a residential housing market for people to live their lives in, it’s not a market of financial products for wealth creation and trading. So do what it takes to protect people.
Except it is a market of financial products for wealth creation and trading. Builders, suppliers, workers, real estate agents, lenders. If you start hammering some forms of treating is as an industry you’ll have massive negative side effects. A couple dozen houses have gone up in my neighborhood in the last few years because some companies saw potential for wealth creation in empty lots. That’s how capitalism works.
I get letters from people trying to buy my mineral rights and real estate often. It’s just another business. They are trying to buy at stupidly low prices 60-80% below value on the real estate, and perhaps 50% below value on the producing mineral rights. I just read them, note the amount offered and throw them away. Just like the even more common ‘extended warranty on your car’ mailings, ugh.
>The rental business has been a good business for centuries.
Excellent. I wish you luck. What I have problems with is the concentration of wealth and power to the .001%. WEFers and their ilk. They are the people who will benefit.
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