Boost for Foreclosure Market | Real-Estate Firm Gets Citigroup Loan to Buy Properties to Turn Into Rentals

“As they do in bonds backed by mortgages and other assets, banks would pool the rents of thousands of tenants living in the formerly foreclosed properties and sell to investors a promised return based on the income the homes produce.”

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Boost for Foreclosure Market

Real-Estate Firm Gets Citigroup Loan to Buy Properties to Turn Into Rentals

Waypoint Real Estate Group LLC, a major investor in U.S. foreclosed homes, has secured a $65 million loan from Citigroup Inc. to help add to its portfolio of properties, according to people familiar with the matter.

Bankers and investors said the debt-financing deal is a milestone for the burgeoning business of renting out houses that were previously in foreclosure.

Waypoint, an Oakland, Calif., investment firm, is working with Citigroup on a bigger, longer-term financing deal that is expected to close in the coming weeks, the people said.

Investors have spent billions of dollars in recent months snapping up foreclosed homes, betting they will profit from the rental income the properties produce.

Rest here…

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4closureFraud.org

Comments
3 Responses to “Boost for Foreclosure Market | Real-Estate Firm Gets Citigroup Loan to Buy Properties to Turn Into Rentals”
  1. talktotennessee says:

    Amazing, this is so much propaganda or spin, if you will for the same old scams. Morphed into “saviors” the old scammers who bought, rehabbed and put people into bad loans have re-invented themselves into management companies. Now they finance, using special programs to buy houses in bulk (6-8-10 houses in a package) for pennies on the dollar, cash or hard money, hiring their same old ‘improvement’ rehab construction teams to run in and spiff up these houses and market them to investors in property management packages. Like the old government programs that contractors used to rehab individual houses are now doing multiple purchases from banks, cheap, cheap.
    I see marginal rise in prices as these ‘super buyers’ sweep in and bid package prices, knocking out individual buyers for a package deal. The bulk buyers can shuffle this stuff from LLC to LLC for cash, no problem with title or documents. It will all sift out in the end, particularly in non-judicial states. As long as the title is not severely impaired it will quiet, junior liens snuffed out and everyone is happy!
    Right???
    Can you say “second round crash” as this mess comes bubbling back to take the housing market down again. Digging a deeper hole. But hey, they are doing a good thing aren’t they Using special bank set-asides or government money to cover banking’s mess like a cat after an indiscreet meal, while they laugh all the way to their bank, pocketing profits off of investment packages. Remember, buying cash requires only cash on the barrel-head. No one is writing title insurance on this junk. So former rehabber property management LLCs dresses up these dogs, rent them under ‘special programs’ and everyone is good to go! Investors, may or may not be aware title is clouded but who cares, all is handled in a package deal.
    Sound familiar?

  2. Fed Up says:

    Serfs R Us Realty Company is now in business

  3. Sarah says:

    “Waypoint offers financial counseling to renters.”
    These goons no longer have a sense of humor, which is why “managing” all these properties is going to require heavy handed security forces. Not your typical landlord who doesn’t give a crap or is way more involved in your personal affairs then he should be, no, people with truncheons for evictions and lawyers who insist you maintain every aspect of your rental.

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