[quote=paramount][quote=EconProf]Adam Smith would approve![/quote]

I seriously doubt it, these crooks are using Ben’s free money to further their serfdom agenda.[/quote]

At the very least, GSE funding (or any govt-backed funding) should NOT be made available to hedge funds.

God forbid regular families should ever get the same types of deals that these “investors” are getting. Joe Sixpack is always the mule at the bottom of the economic pyramid who’s holding up all the weight of the fat cat capitalists at the top.

………..

It would be funny if interest rates rise, making the low-ish cap rates of today look pitiful…at the same time, making the monthly carrying costs at the higher rates unaffordable for true end-users/buyer, which would cause prices to plummet (IMHO). Then, the flood of rentals being hoarded by all of these investment funds could hit the market, putting a damper on rent increases and, possibly, causing rents to fall in addition to causing prices to fall as they try to unload.

Will this be the “foreclosure tsunami” all the RE bears have been waiting for all these years?

Of course, there’s the very real chance that these investors are underestimating the potential problems with renting to a bunch of people who were foreclosed on by those in the financial sector, leading to a sort of resentment against their new landlords if their identity is ever found out. I will LMAO if these funds lose their a$$es on these deals. One can only hope.