Rent Home To Own Home: Coming Soon To A Neighborhood Near You?
Private equity firms want to go out and buy up foreclosed properties, REOs (real-estate owned or bank-owned) properties. There are millions of foreclosed properties that need to be resolved, and investors want to buy them in bulk and rent them. The government is talking about selling them in bulk; although no plan is out yet, the talk is that it’s coming.
Investors want to come in and buy these homes nationwide, rent them, and manage them.
“We look at managing it through sort of a distributed apartment-building model; and we’ve built a sophisticated and proprietary IT platform that manages all the work flow around all the various elements of the business, from underwriting homes, construction management, leasing and property management, …” explains Doug Brien, Co-Founder of Waypoint Real Estate.
“One of our real strategies has been not just to simply rent homes but to specifically focus on all these families out there in America right now that can’t own a home. And what we’ve found to be resoundingly clear is that the dream of home ownership in America is not dead, that a lot of these people want to own again in the future. And so what we’ve done is created some unique products that are different from renting, and that we’re effectively creating a path to home ownership for these people, we’re providing financial fitness or credit counseling; and then also they have the ability to earn credits towards a purchase in the future.”
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