Articles

California Law Seeks to Restrain Wall Street's Potential Landlords

Posted To: MND NewsWire

California is taking steps to avoid a repeat of the conversion of thousands of single-family homes from ownership to rental properties as occurred during the Great Recession. In late September, the state’s governor Gavin Newson signed a bill that will give tenants, affordable housing groups and local governments the first crack at buying foreclosed homes. As homes were foreclosed by the millions following the housing crisis, Wall Street stepped in and investors, according to Zillow, gobbled up over 5 million homes, turning them into rental properties. They were bought as individual homes, via bulk sales of lender real estate owned (REO), or as distressed loans upon which the investors later foreclosed. It was expected that these houses would return to owner-occupied status once home prices…(read more)

Forward this article via email:  Send a copy of this story to someone you know that may want to read it.


Leave a Reply