This forbearance is forever; 2 REITs sold too soon; where iBuying is the most popular; big tech puts big bucks in real estate; Freddie Mac reports on appraisal bias.
Today on Millionacres
COVID-19-Related Multifamily Property Loan Forbearance Extended Indefinitely
The Federal Housing Finance Agency (FHFA), which manages Fannie Mae and Freddie Mac, has announced a new extension of forbearance programs for multifamily properties, which was set to expire on Sept. 30.
The Millionacres takeaway: Our Kristi Waterworth points out that affected landlords must inform tenants about protections available to them during the forbearance and repayment periods. And they have to agree not to evict tenants solely for nonpayment during the forbearance period. Does this extension kick the can down the long road to forever? That doesn't seem like a sustainable new normal.
2 REITs I Sold Too Early
Famed investor Warren Buffett quipped that his favorite holding period is forever. Our Matthew DiLallo shares his experience with two real estate investment trusts (REITs) that he views as a couple of his biggest investment mistakes.
The Millionacres takeaway: The experience of these two experienced investors (Matthew and the Oracle of Omaha) provide actionable insight for your own adventures in real estate investing.
Which Cities Are Seeing the Most iBuying Activity?
iBuying activity is stronger than ever, dashing all hopes Realtors had of iBuyers going away, our Laura Agadoni writes. The beginning days of the pandemic were bad for iBuyers, but that lasted about a minute -- post-pandemic, iBuyers are back with a vengeance.
The Millionacres takeaway: iBuyers even have their favorite buying locations, and you can be sure that a city favored by an iBuyer would probably be a good city for all types of residential real estate investors. Check this article out for the leaders in that growing niche.
Also in Today's News
Big Tech Companies Amass Property Holdings During COVID-19 Pandemic
The biggest U.S. companies are sitting on record piles of cash. They are getting paid next to nothing for holding it, and they are running out of ways to spend it. So they are buying a lot of commercial real estate, The Wall Street Journal reports today [subscription required].
The Millionacres takeaway: Where these tech giants buy, there's a lot of halo effect around these properties. Individual investors can explore opportunities themselves there.
Freddie Mac Finds 'Pervasive' Bias in Home Appraisal Industry
Bloomberg Law reports today that a Freddie Mac study adds to a growing body of research that finds racism in the appraisal industry is undervaluing the homes of Black and Latino Americans compared to white-owned homes.
The Millionacres takeaway: The study's authors wrote that they hadn't identified a root cause for these gaps, but that they are testing alternative appraisal methods for more equitable outcomes, the Bloomberg report says. What they come up with may be of interest to real estate investors and lots of other stakeholders.