This has been talked about since at least last summer. I’m not convinced about EconProf’s assertion that large REITs will be more efficient at managing the properties than local investors.

Local investors are often contractors or businesspeople who already have a network of tradesmen in their community. These tradesmen often give them work at a good price.

Anyway, I suspect that there will be enough properties for everyone to go around. From what I understand, the bulk sales haven’t been such slick deals for the REITs: going at 75-80% of value on average, with condition unknown.

$78MM/660 = ~$118k per property. Not such a hot deal for REOs anywhere in Florida.