Wednesday, January 09, 2013

Our Glorious Rental Future

I'm very skeptical about large institutional investors being able to manage large numbers of single family homes. I'd imagine the best way to do it successfully would be to attract, as much as possible, long run tenants. To do that, contractual protections for such tenants, in the absence of regulatory ones, might work. Basically you'd need to agree to protect tenants from sharp rent increases and give them the right to renew leases.

And I'm not sure our glorious investor culture is capable of such behavior. I predict slumlords. Happy to be wrong.