The Waypoint Group, a company that buys foreclosed homes and rents them out, has received a $65 million loan to expand in that sector, the Wall Street Journal reported.
The financing represents the first time a player in the foreclosure-to-rental industry has tapped debt markets, the Journal said. The deal should pave the way for Waypoint to expand its portfolio more quickly.
Waypoint is in talks for additional financing with Citi that should close in the coming weeks.
Renting out foreclosed single-family homes is a relatively new area of investment that institutional investors have been clamoring to enter since its emergence, previous reports show. [WSJ] — Guelda Voien