[quote=SK in CV][quote=flu]
If at all, it means its major suckville for folks trying to buy in those areas affordable housing or cash flow residentials because now you have one more 800lb gorilla to deal with[/quote]
I think most of your comment is spot on, though I’m not sure if they were active in MM. It doesn’t appear that they have any homes for rent there.
But with regards to the quoted part, they pretty much finished buying in most markets for much of the last year. They probably did drive prices up in the handful of markets they entered. And they only attacked very specific markets. While they were buying, they probably did push a lot of other buyers out. But I suspect that’s over with. So it should be past tense. Buyers did have an 800 lb gorilla to deal with. That gorilla is sleeping and the market is flattening out. Though it wouldn’t surprise me if they start marketing the properties that are not security for this bond offering in areas that experienced some pretty decent appreciation.[/quote]
I meant past tense on BS’s buying spree. But I agree. The point is they are sitting in a pile of dirt cheap properties that apparently cash flows for them.
I am more curious if they are going to come up with some more creative schemes to offer rent to own plans for subprime people that can’t own otherwise. Seems like if we are expecting a flat resale market in those areas, it would be a way to offer ownership to those who cant under traditional ways and increase profits at the same time.
