In today’s America, Wall Street Investors, such as American Homes 4 Rent, outbid citizens. They come in with all-cash offers and require no inspection. As soon as homes appear on the MLS, these financial titans swoop in. They flip any house they get their hands on into rentals. Normal folks don’t stand a chance against these elite institutions.
If congress allows the Wall Street whores to continue, the American people will never own a home again.
“People want to sell their homes to the highest bidder, no matter who it is…” says Jamie Shipley, president of the Wakefield Homeowners Association, which governs a subdivision in which 11% of the homes are owned by institutional investors.
Jamie Shipley
Landlords Turn Corporate
Documented in a 2016 survey, 5% of all homes in Spring Hill, TN fell under the occupation of Wall Street. The companies listed: American Homes, Colony Starwood Homes, Progress Residential and Streetlane Homes.
Once the dissemination of Spring Hill, TN completed, their cross-hairs moved. Now they target bigger areas. Prime real estate in metropolitan goldmines such as Atlanta, Phoenix and a dozen other cities. As of 2017, they’ve stolen over 200,000 middle-class homes. The strategy guarantees blue & white-collar workers can never afford homeownership in desirable areas. During this timeframe, American Homes acquired over 48K residences across the United States. They picked all prime areas which left renters and home buyers with few options.
If you want to be in that subdivision and have your kids go to that elementary school, you have to deal with them [Wall Street]…
Mr. McNeilage
These corporate titans buy homes with 3 or more bedrooms in friendly communities — low crime and upper middle class. Where does this leave renters and first-time buyers who can’t afford a home? In Wall Street’s new model of feudalism. A place where the common folk can face guaranteed annual rent increases without constraint.
Their wherewithal to pay rent today as well as pay rent in the future, with increases, is sufficient. It’s just up to us to educate tenants on a new way, that there will be annual rent increases. This has been a very passively managed industry for 30, 40 years up until institutional players came in.
Mr. McNeilage
Where Does This Leave Renters
The Feudalistic model not only drives up the cost of home ownership but over-inflates rent as well.
For example, if a family earns under $88k a year, their only option, rent from slumlords. The areas to pick from, those not fit to raise children. If they live in a property purchased by the likes of American Homes, they can expect continuous yearly rent increases. Forget about month-to-month leases. They’re forced into a 12-month contract, and if they can’t pay, no worries, an eviction letter gets posted on the door.
But it doesn’t end there. Once the lease expires, people can expect an extra 3-3.5% increase. To put this into perspective. After Wall Street captured the market in Spring Hill, TN, rents increased to $ 1773 a month. Before the onslaught, a place of the same size and amenities cost around $1,000 a month.
The rent is crazy. It hasn’t been that long since you could get a three-bedroom, two-bath for $1,000 a month.
Bruce Hull, Spring Hill’s vice mayor and owner of a local home-inspection business
Wall Street and paid-off politicians will make “you will own nothing a love it” a reality.
God help us all because forgot the warning of Thomas Jefferson that “freedom is not free; the price you must pay for freedom is eternal vigilance.”
