Home / Daily Dose / SFR Leaders Hold Pivotal Industry Discussions
Print This Post Print This Post

SFR Leaders Hold Pivotal Industry Discussions

collaboration BHWith the homeownership rate in the U.S. currently near a 50-year low, there are now approximately 14 million single-family rental homes in the country.

In order to tap into this multi-trillion dollar asset class, many investors and others in the single-family rental space gathered at the Second Annual Five Star Single-Family Rental (SFR) Summit this week in Frisco, Texas, for two days worth of panels from industry experts, Ted Talks, and networking.

Five Star President CEO Ed Delgado noted that the industry goes in cycles—15 to 20 years ago, the buzzword was loss mitigation, to the point where companies were being launched just to handle deeds-in-lieu and short sales. Those have largely disappeared, and the popularity of the single-family rental market has exploded in recent years as foreclosure rates have declined. Now, builders are creating entire subdivisions and construction strategies around building single-family homes for the purpose of renting.

Wednesday morning at the SFR Summit featured experts discussing property acquisition—sharpening your acquisition strategy, the pros and cons of portfolio and single-asset acquisition, and when to consider investing.

“My main goal is to shed light on other opportunities in our industry and to show these buyers on any scale how to acquire assets in different, unique platforms,” said Brennan Reid, CEO of Joyce Reid Capital, which specializes in tax sales investments. “The main thing you hear at all these conferences is lack of inventory, lack of inventory, lack of inventory. There’s a lot of inventory out there that people don’t even know exists, and it’s our goal to expose that.”

Wednesday afternoon, industry leaders specializing in disposition strategies took the stage to discuss how to best ensure a portfolio remains agile in a shifting SFR marketplace as well as how to evaluate a portfolio to ensure maximum profitability.

“I think trends we see for the big picture are the large institutions are selling off their C-class portfolios, and because of the emergence of SFR lending, high net worth individual business owners viewing real estate as still attractive even at high traditional values then we have seen in years past,” said Paul Yazbeck, VP Investment Sales for SVN. “They are still able to purchase properties that make sense for them and earn returns that are sufficient.”

The speakers zeroed in on incorporating the appropriate disposition strategy in an investment plan which could make the difference between profit and taking a loss, and exploring the varies strategies industry leaders are already implementing.

The funding session of the SFR Summit on Wednesday included such topics as selecting the right funding product for your portfolio and must-have resources for lenders and borrowers.

(Editor's note: The Five Star Institute is the parent company of DS News and DSNews.com)

About Author: Kendall Baer

Kendall Baer is a Baylor University graduate with a degree in news editorial journalism and a minor in marketing. She is fluent in both English and Italian, and studied abroad in Florence, Italy. Apart from her work as a journalist, she has also managed professional associations such as Association of Corporate Counsel, Commercial Real Estate Women, American Immigration Lawyers Association, and Project Management Institute for Association Management Consultants in Houston, Texas. Born and raised in Texas, Baer now works as the online editor for DS News.

About Author: Brian Honea

Brian Honea's writing and editing career spans nearly two decades across many forms of media. He served as sports editor for two suburban newspaper chains in the DFW area and has freelanced for such publications as the Yahoo! Contributor Network, Dallas Home Improvement magazine, and the Dallas Morning News. He has written four non-fiction sports books, the latest of which, The Life of Coach Chuck Curtis, was published by the TCU Press in December 2014. A lifelong Texan, Brian received his master's degree from Amberton University in Garland.
x

Check Also

Federal Reserve Holds Rates Steady Moving Into the New Year

The Federal Reserve’s Federal Open Market Committee again chose that no action is better than changing rates as the economy begins to stabilize.