By Jeff Zananiri
I knew it!
My research earlier this year pointed strongly to a looming housing recession. Now, most experts agree that it has arrived.
The Fed raising interest rates resulted in 30-year fixed mortgage rates climbing above 6%, just as I anticipated. Look at the trend since last year… the blue line represents 30-year mortgage rates.
Citation: https://www.freddiemac.com/pmms
We haven’t seen rates like this since 2008.
As potential homebuyers cringe away from the burden of these rates, existing and new home sales continue to retreat.
Instead, those would-be homeowners are turning to single-family rentals like never before.
And that’s where the opportunities abound for the savvy trader.
The Big Money is already tuned in. While overall home sales have dropped, investor home purchases are up 5.9% year over year.
Some experts even claim that 20% of US homes are owned by investors, at this point. So you’ve got those institutions buying up real estate for single- and multi-housing communities and investing in their development and management.
Investing with or trading those Big Boys would be one way to play the trend.
Then there are the companies themselves that develop, manage and build properties.
But for a more intriguing *new* approach…
You can invest in rental properties and earn passive income… via online technology.
These “laptop landlords” can invest in a variety of ways – all without leaving their couch:
- They use data services to access reporting on home prices, neighborhood crime rates – even school ratings. Sites include LoopNet.com, Realtor.com, Auction.com, PropertyShark.com… to name a few.
- They use real estate marketplaces like Roofstock.com, FSBO.com or Appreciate. Rent to locate financing and property managers in the area they’re buying.
- They use crowdfunding sites to purchase a portion of single-family rentals.
That last opportunity – the crowdfunding platform – caught the eye of Jeff Bezos. He’s not alone… former Zillow CEO Spencer Rascof and Salesforce CEO Marc Benioff joined him in investing in one such startup.
The COO of the company they’re supporting reported revenues up 10X over the last year alone and anticipates adding more and more properties in the coming months.
The platform uses technology for everything from determining the best locations for rental acquisitions, to the level of renovations required.
The investor simply… invests.And unlike with most private offerings, you don’t need to be an accredited investor with $1 million in ready cash. In fact, you can get started with as little as $100.
Get the name of the startup – and all the other opportunities I’ve uncovered in our new US rental reality – right here.