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$60+ Million Missing in Botched Crowdfunding Deal
About this Episode
Recent Episodes from Real Estate News: Real Estate Investing Podcast
Who’s Slamming on the Real Estate Brakes in Texas?
The Real Estate News Brief: Another Bump “Up” for Inflation, Builder Challenges Continue, and a New Trend in Home Design
Bumpy Ride for Inflation Battle but No Big Worries with Latest Report
The Real Estate News Brief: All-Cash Home Buyers, Huge Lawsuit Against NAR, Single-Family Rent Growth
The Eviction Saga Continues for Landlords Hit by Covid Moratoriums
The Real Estate News Brief: Inflation Speeds Up, U.S. Homes Growing Old, Investor Activity in Q4
Rate Cut Hopes Fade with Ugly CPI Report
The Real Estate News Brief: More Proof of Slower Inflation, Spring Homebuying Season Kick-Off, Best Short-Term Rental Markets
You can find the links to this episode in the show notes at newsforinvestors.com. You’ll also find lots of information about the business of long-term rentals at our website. You can join for free and get access to our investor portal with data on our top markets for single-family rentals. That’s at newsforinvestors.com.
Is NY Rent Stabilization at Fault for Multi-Family Sell-Offs, New Banking Crisis?
Two big headlines out of New York this week have one thing in common – rent stabilization laws that are destabilizing the value of multi-families. One of those stories is about the sale of two multi-million dollar properties for less than half of the purchase price. The other story is about New York Community Bank which suffered a downgrade to “junk” because of commercial loan losses, including multi-family properties that are sinking in value.
We’ve heard a lot about the impact of high interest rates on loans for unprofitable office buildings. But this story highlights the negative impact of rent stabilization laws. The headline that caught my eye in The Real Deal read: “Another rent-stabilized haircut, this time with shears.” The investment firm Bentall Green Oak unloaded two properties in upper Manhattan for just $31 million. That’s 64% less than the purchase price of $85 million...(more)