Private Equity Funds Who Purchased in 09-14 ready to release home
Watching the markets very carefully these days esp California SF Bay Area market........
Has anybody researched when all these private equity companies will be free to release the homes they purchased from 2009 to 2015? Majority of the PE's that purchased large tapes had clauses that required them not to release the assets purchased for resale. I believe the time frame was 3-5 years. We've also spoke to a RE PE fund here in SF California which mentioned they were not profitable on the rental side of the business and are very excited to start selling 1000 homes they purchased in the entire state of California. Would like to hear your guys input or insight around this topic. We're at all time highs and have passed 2006 prices! I get everyone saying this market is different because people have CASH but majority of the down payments of single handed investors or regular buyers are using STOCK money to use towards their down payments. 1st If the stock market has a correction 2nd if the PE's start releasing inventory to flood the markets and if the feds increase the interest rate (Which they will) We're certain there will be a 10% to 15% decline. For those of us who're in the rental business might be safe as you're more so on the CASH FLOW game but those of us who're building new construction and doing fix N flips have to VERY CAREFUL. Give us your insight BP!!