Families are renting for longer periods of time.

Since the 1980’s, the average period of time a family would rent before homeownership was 2.3 years. Today, the average family rents for 9 years before purchasing a home.

Multi-family investing is expensive.

Approximately 55% of large multi-family dwellings are institutionally owned, which creates competition and a saturated market with lower returns. There are ~14 million single family homes for rent across the United States and less than 2% are institutionally owned. This means there are more opportunities in an asset class virtually untouched by institutions.

Larger institutions are making their way in.

J.P Morgan, Blackstone, and Goldman Sachs recently entered the single family space. With larger institutions moving in, that is indicative of opportunity. Most recently, Front Range Capital, and the Steinbridge group Co-GP a fund committed to $50,000,0000 in single family investing.

Demand is higher than ever.

We normally elect to provide housing for families who utilize the Housing Choice Voucher Program. The Housing Choice Voucher Program is a program sponsored by the federal government that allows families to seek private housing on the open rental market with a portion of the rent being guaranteed by the federal government. Most housing authorities have waiting lists that last for years.

Safe investments

Investing in real estate has created wealth for more people than any other industry in history. As long as there are people on earth, we will need single family housing. The combination of tenant demand, and rents being guaranteed by the federal government, are a recipe for perfection in uncertain economic times.