This page has been archived and commenting is disabled.
Meet Wall Street: Your New Landlord
Blackstone Group appears to be trying to oligopolize the business of renting single-family homes in the U.S.. As Bloomberg reports, after the housing crash left more than 7 million foreclosed homes in its wake, the investment firm has spent more than $7.8 billion purchasing about 41,000 single-family homes for rental conversion. The world's largest private equity firm has quickly become the largest landlord (of rental homes) in the U.S. and in October, Blackstone offered the first-ever "rental-home-backed" security on Wall Street. One has to wonder if this was the plan all along?
»
- 31702 reads
- Printer-friendly version
- Send to friend
- advertisements -
Property taxes = major bitch slap. I'm sure Founders rolled in their graves when the people allowed that to pass.
Property taxes actually predate ratification of the Constitution, and stretch back into antiquity. So the founders were well aware of them.
Yeah but don't you feel warm & fuzzy inside knowing you are picking up the tab for "the children" .... parents .... aunts & uncles .... of many welfare kings and queens, not to mention the many beneficiaries, under the "sanctuary city & state" Illinois is? Common ... be a good sport 'bout it. If you can't pay high taxes so to support corrupt politicians in Chicago & Illinois where can you?
/sarc
No mention of roads. I mention this because I see people being selective on what they say/attack, while omitting those things that they know they use (but don't want to own up to).
Lots of the costs have risen due to demands from the financial sector, which, unlike all of these "public services" really doesn't do a fucking thing for anyone.
Rather than bitch about things, I opt to do something about them. No, I don't run around (anymore) trying to change the world; rather, I change my OWN situation- I sought out property that has a low tax rate. I sold my "investment" home and bought a house with property; I did so in the face of everyone saying property values would only go up, as well as "property taxes never go down" (I have proof, which I will only disclose to someone else under legal contract that delivers all THEIR wealth to me should they lose the bet, and all of MY wealth to them if I lose the bet [and given that I highly value my home and property I AIN'T going to do something with high levels of risk- meaning, you'd be better off skipping the lawyers fees and just forfeit everythign to me- I'd give back the value of the lawyers fees just to show that I'm a good guy]).
When the day comes when there is less taxation (anyone care to bet with me on this?) you might look back and long for the "good old days." Nothing will last forever...
A simple move from one bank landlord to another. Private equity KNOWS that over the next few years the big banks will be moving a million or so people out of houses that should've been foreclosed upon years ago. Ready made customers.
Bingo. And the kickback goes to.......
As I'd noted above, being a landlord is no way to rake in the big bucks.
It's all just as likely that they all lose their shirts. As unemployment continues to increase it only depresses the housing sector more.
There is no UP cycle ahead. Everyone is just continuing to play the game because they know of no other game. While I don't believe it will cure anything, I believe that things will come to a close/head with the collapse of the Fed: the Fed will have backstopped it all, sucking the debt down its imploding black hole.
So a publicly traded company got into the real estate business? Interesting. Maybe we could call it an investment trust. Maybe a Real Estate Investment Trust (REIT). We'll make millions!
How is this news?
It will be news when do the next round of bailouts. Whoops sorry. That won't be news, that will just be a, we saw it coming but did nothing.....
As far as I know there was only 1 zero hedgie that participated in the oppose wall street movemenat and that was Bruce Kasting, and I would bet he didnt camp out in the park. Fucking loud mouth pussies is all we are.
Breaking News fron CNBC.. Bob Pisani, "It Does Not Get Any Better Than This for stocks". New Highs, Strong Breadth, Heavy Volume and everything up 2 to 3% for the week... Except Gold, big loser.
What could go wrong? Ring that bell.
More than 1. But then whose counting?
The rent is too damn high!
OT/ Nothing on this in ZH :
http://www.theguardian.com/uk-news/2013/dec/20/gchq-targeted-aid-agencie...
This should put some spice in the EU soup between Cameron and Mutti.
As for those NSA shills monitoring humanitarian activities of MSM (french doctors) and UN Darfur team its just beyond pathetic.
of course this was part of the plan...globalist scumbags and Marxists want us to lose our right to private property and all other rights that go along with it.
tank the economy and place all the debt on the people, and then when the people and the cities go bankrupt, they move on in with their unlimited fiat freshly printed by the Fed and they buy up everything they want at pennies on the dollar.
It's new-feudalism and a globalist takeover of America. Once the people are broke, jobless, on government welfare and tyrannical "health" care, and have lost their homes, then they will be completely dependent on the government and in return for the government "taking care of them" they will give up or lose all their God given rights one way or another.
Game, set, match and check-mate.
Unless people keep waking up and realize that they can and need to fight back. We have a fighting chance against these scumbags if we wake up and get in the fight.
“Experience hath shown, that even under the best forms of government those entrusted with power have, in time, and by slow operations, perverted it into tyranny.”
? Thomas Jefferson
"and Marxists"
Banks and corporate priviledge and immunity from the law lead me to lean towards the belief we are becoming more a kleptocratic facist state.
"then they will be completely dependent on the government and in return for the government "taking care of them" they will give up or lose all their God given rights one way or another."
"They"/we, have for the most part already caved and do not care.
"Unless people keep waking up and realize that they can and need to fight back. We have a fighting chance against these scumbags if we wake up and get in the fight. "
What more has to happen to motivate the people to fight? They have been given every reason imaginable. With NSA having infiltrated even the "Dark web" you are becoming less able to wage even guerilla technological warfare. Much less escape the drones.
The "people" are to divided among themselves, if not to revolt, then to form any coherent structure much better than what we currently have. Considering the "people" are responsible for what we currently have. Garbage in garbage out.
Feudalism, bitchez!
Is it just me or has anybody noticed that most new housing construction is multi family rental housing. It has all of the attractiveness of an"planned community" from a-la Eastern Bloc Warsaw Pact sub division?
They are rounding US up into camps, aren't they.
Pray for the Republic
I don't know why folks think owning a home is some sort of right, or sign of freedom. Most people have "rented" in one form or another, throughout the entire history of the country. Today, even homeowners rent, in the form of property tax. Plus, as homeowner, you get to shell out for all of the consumables and maintenance for the property. It's a racket.
Ever been outside of the U.S.? News flash: your/my livestyles are in NO WAY even close to what most of the world lives by.
I bet you have high-tech toys (I do). Consider that these things can only really be manufactured by robotics. Those robots are doing the work. More and more money spent on these things only pushes this dynamic harder, helping to create more and more "poor." And the "poor" are going to buy 2,400 sq ft homes with no/little income?
Blackstone sees the reality, they are not the cause of it. The cause is rooted in nature: limited natural capital (it's a finite planet).
41,000 homes out of 7 million?
I have a greater appreciation for why I'd NEVER want to be a landlord after being one for only a few months: bought a house with a renter in it and had the agreement to continue renting for a few more months. That folks are having to dig this far into the barrel only speaks of the desperate times that it's all coming to.
"Is it just me or has anybody noticed that most new housing construction is multi family rental housing. It has all of the attractiveness of an"planned community" from a-la Eastern Bloc Warsaw Pact sub division?
They are rounding US up into camps, aren't they.
Pray for the Republic"
it's called "Shelter in Place".
OT:
http://current.com:80/green/88787561_cia-plane-crashes-in-mexico-a-story-with-a-twist-in-the-tale.htm
Here here, Hedgeless.
I had a curious thought or intuition enter my mind, unbidden, a few years ago:
"All my problems are governmental or electronic".
Septemberish I spoke w/an Illinois based realtor - Chicagoland westernish burbs - who allegedly was part of a 5 person team doing the bird-dogging for a 'deep-pocket' buyer (not sure if foreign or domestic). I was told this was the 1st year they had purchased less than $1 BILLION worth in 3Qs of any year since they had started a few years ago. Their job was to find the stuff and present it, then the buyer would decide then make offers. She was quite pissed about it since she knew in the long run, this was horse-shit for the community, as neither landlord nor renters improve the dump, nor add much stability to the community, and lets face it, US homes are not built like Eupean homes where you know the fucker will last 100+ years (hell, on pre-close inpection you are lucky to end-up holding just one door knob, and have less than one full page of shit to be fixed).
As someone posted earlier: it is our damn fault for having allowed to get to this point.
No need to raise hell: just stop playing the game ... stop buying all the damn useless shit we are surrounded by and drowning ourselves in. Reward value and piss on the rest. But I am preaching to the converted. Those who need to stop wasting $ are not ZH-heads (for the most part anyways).
Merry Chritmas and Happy Holidays y'all ZH'ers!
Your anecdotal brings up a very important point. What happens when there's nothing left to buy?
It's a bubble. And I pretty much believe that this is the end of the bubble train.
"No need to raise hell: just stop playing the game ... stop buying all the damn useless shit we are surrounded by and drowning ourselves in. Reward value and piss on the rest."
I agree in sentiment, but the details... People are broker and broker, so, for most, the game is really pretty much over. The "useless shit" is now clearly useless-looking to most now but, I need to point out that it's a matter of perpective and that things always change: I have stuff that many figured "useless," and, well, I'd like to hope I'm proven wrong but... (really, hand drills, axes and such [what will life be like should I not be able to run my chain saws?) So... "value" is a pretty hard one to put one's thumb on, and it tends to not stay in one place; I figure that there'll be a LOT of revaluations going on, and may we chose correctly, our futures depend on it...
If you are talking about RE, then the illegals the libs are pushing so hard for, and some repubs are asking for, would make good alternative renters/buyers. Then when there is need for more housing, build more "instant fixer-uppers", on land the elite already owns and would be happy to start the cycle all over. That would be a wet dream for many ... jobs will be created, land sold @ mongo profits. Of course, nevermind agro-productive land used for building on and which we are trying our danest to destroy as fast and best as we can, since food which could and should be grown here, in our own back yards (or at least in nearby farms), is being imported and thus creating another wonderful profits opportunity for food imports from cheap supply sources, to be sold at inflated prices, creating even more profit opportunities - processing, packing, transporting, etc etc instead of growing fresh and delivering just a few miles from your/our homes.
As for "useless shit" .... just look at all the "can't live without it" toys/gadgets. trinkets n trash we all have, that shortly after being bought, can't even be sold on flea-bay. Tools would not fall under that category unless one just buys them for the hell of it, without need, or even remote probability of using them.
Just look at the shopping carts going by .... boggles the mind what people buy and pay for, often with money they do not have.
I'd boycott (and have been) many products which were made here but production of which was taken out of the country not for lack of inability to produce here, but out of greed. Levis Strauss .... Apple .... and on and on and on. When all said and done, the "cheap" products do cost us more if you back into the cost, all of the costs added by exporting those jobs through loss of tax revenue to the corporation and employees, support of former employees, cost of horrible quality goods and all that aspect does cost us, foreign policy shenanigans, keeping a military so to ensure open passage of goods, loss of pattent protection for goods we need, and which would serve as springboard for future products, and on and on .... Just look at the electronics industry: if the chinese refuse to sell us most components we'd be royally fucked as we no longer manufacture them here.
Can we completely build a functional computer 100% in the US? I don't think so.
MAny meds are made overseas or are based on foreign compounds, virtually all having been invented and made here not long ago.....
Anyways .... I hope my reply did answer the question.
/rant
I was referring to the Fed asset-buying program.
"I'd boycott (and have been) many products which were made here but production of which was taken out of the country not for lack of inability to produce here, but out of greed."
Stuff is being made elsewhere because our labor costs were driven up due to infrastructure costs: demographics, age, also is a key driver. Geez, this shit is as old as the hills. It's how the dynamic works, there's no "plot." Continued growth on a finite planet was always going to encounter a problem: we're now starting to stare it directly in the face, and, unlike all the windmills that folks think they're poking at, it's a reality that cannot be altered.
"Of course, nevermind agro-productive land used for building on and which we are trying our danest to destroy as fast and best as we can, since food which could and should be grown here, in our own back yards (or at least in nearby farms), is being imported and thus creating another wonderful profits opportunity for food imports from cheap supply sources, to be sold at inflated prices, creating even more profit opportunities - processing, packing, transporting, etc etc instead of growing fresh and delivering just a few miles from your/our homes."
It all "sounds" good, but due to the dynamics of economies of scale we will NEVER see existing demands met by "local" production, let alone continued growth of same. And the reason being is that the current System enjoys the advantage of cheap fossil fuels. When cheap fossil fuels become a thing of the past then much of those things that you think the "local" folks will be able to pick up you'll find that it won't happen because they have also been dependent upon cheap fossil fuels: I'll be outside crying when the day comes that I won't be able to afford diesel! (though I'm fully expecting to meet that day)
Much of our food has, and will continue to come from this country. But, our views of what's out there is severely skewed due to all the specialized stuff that's imported.
All the things that you are concerned about will pass. All will correct itself eventually. Rather than wait for things to happen I am moving forward in an attempt to meet things sooner rather than later.
P
Not sure whether to calll out the rating agencies here again or the folks who will buy these pieces of crap paper. <4% yield for lowest tranche? Piss off.
In the end they cannot alter the inevitable. It'll all result in decreased valuations. And just like it always has been, most will get crushed by the weight of the bottom dropping out.
Chasing "returns/interest" right over the cliff (because that's all we know)...
As much as I dislike Blackstone, consider:
Yahoo Finance 2013 company of the year: Walt Disneyhttp://finance.yahoo.com/blogs/michael-santoli/company-of-the-year--walt...
Capitalism has come down to worshiping a virtual mouse? This is just so fucked up...
CANDY COATED DOGSHIT WRAPPED IN A WALL STREET PACKAGE WITH A BIG BOW ON TOP.... WE WORKED HARD TO FIND A SUBSTITUTE FOR THE BAD CREDIT GOOD CREDIT MORTGAGE BACKED SECURITY MIX A RATED TURD AND WE FINALLY CAME UP WITH THIS SCHEME TO SODOMIZE THE INVESTOR.... AGAIN... WE DONT THINK IT WILL SELL WELL IN ICELAND...
The grow-or-die system will do whatever it takes to maintain the fallacy of growth...