Institutional investors look to cash out of South Florida rentals

Big players sitting on inventory of nearly 13,000 homes

Dec.December 22, 2014 10:30 AM

When South Florida’s market hit rock bottom, institutional investors pounced, buying as many foreclosed and short sale homes as possible.

From January 2012 through August 2014 major institutional investors purchased 12,952 single-family homes, a study showed. That made South Florida No. 2 in the U.S. in purchases. Now, these investors are the biggest sellers in the area.

Even though institutional investors have been turning sizable profits renting out homes, rising home values have boosted home equity by 31 percent — a combined $611 million. That boost has given these investors more incentive to sell, according to RealtyTrac.

Selling has been slow, however.  Home purchases dropped dramatically in 2014 compared to 2013.

According to the report, the largest owners of South Florida homes are the Blackstone Group (735) and Colony American Homes (638). Their equity gains grew 10 percent and 27 percent, respectively. [South Florida Business Journal] — Kristina Puga

Related Articles

Fordome Investment Group’s Kris Rodriguez and Blackstone’s Stephen Schwarzman (Credit: Getty Images, Google Maps)

Blackstone plans to build new Medley warehouse

Placeholder image

Blackstone sells Weston hotel for $12M

Industrial sales are up

South Florida’s industrial sales jump to over $1B in Q3 2019

Daily Digest Miami

Scaramucci slashes his sights on his Opportunity Zone fund, Florida’s first LGBTQ+ senior housing development breaks ground: Daily digest

Blackstone CEO Stephen A. Schwarzman and 5120 Northwest 165 Street

Blackstone buys two Miami Gardens industrial properties for $14M

3208 Northwest 72 Avenue and Blackstone CEO Stephen Schwarzman (Credit: Google Maps and Getty Images)

Blackstone buys industrial portfolio near Miami airport for $56M

Zillow CEO Rich Barton (Credit: iStock)

Zillow Offers launches in South Florida

(Credit: iStock)

Rough quarter: Resi sales fall in Broward, increase slightly in Miami-Dade