During the crash in 2008, hedge funds, investment firms, and private equity companies stepped up to keep the housing market afloat. Eight years later, these property owners are looking to get their money back.
These institutional-sized owners are twice as likely as smaller owners to evict their tenants.
American Homes 4 Rent, one of the nation’s largest operators, and HavenBrook filed eviction notices at a quarter of its houses, compared with an average 15 percent for all single-family home landlords, according to Ben Miller, a Georgia State University professor and co-author of the report. HavenBrook -- owned by Allianz SE’s Newport Beach, California-based Pimco -- and American Homes 4 Rent, based in Agoura Hills, California, declined to comment.
Colony Starwood Homes initiated proceedings on a third of its properties, the most of any large real estate firm.
The Atlanta Fed’s own research suggests that the eviction practices of big landlords may also be destabilizing. An eviction notice can ruin a family’s credit and make it more difficult to rent elsewhere or qualify for public assistance.