Last week, Invitation Homes and Starwood Waypoint Homes announced plans to merge, potentially creating the largest landlord of single-family homes in the country.
The Washington Post reports that as homeownership wanes, Wall Street sees an opportunity for the single-family rental market.
For many, renting makes more sense than buying. Wages aren’t keeping up with rising home prices, and many potential buyers, largely the Millennial generation, are dealing with loads of student loan debt. Plus, the younger generation is more receptive of the sharing economy, where ownership of objects isn’t valued as highly as before.
The head honchos at Blackstone, Invitation Homes and Starwood are making a clear vote about what they think the future holds: more renters. These aren't cheap homes. The average rent is just over $1,600, according to Starwood. Renting is going upscale.
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