Press Release November 18, 2009 – Fannie Mas has announced on Nov. 5th, 2009 that they will begin to offer leases to homeowners occupying REO properties. This is contrary to the previous practice of issuing the owner a 3 day notice to vacate, completing a quick trash out, and throwing it on the market for sale or letting it sit in inventory gathering dust. This may seem like a new idea but those who deal in rentals have been pushing this scenario from day one of the foreclosure crisis and the smart ones have taken action in anticipation of this historic event.

The new owner lease back program is welcomed news for homeowners in distress who may be able to take advantage of this program. It’s also good news for one sector of the real estate industry in particular, property management firms. “Property Management has been one bright spot in the real estate industry that doesn’t get much attention” says Mia Melle, Broker and President of WCPS, Inc. which operates Renttoday.us a residential property management firm based out of Ontario, CA. Melle stated that for the last few years, property owners whose values have declined turned to property management firms such as Renttoday.us to find qualified tenants to lease their homes and create some type of cash flow while they wait for the market to recover. Now it seems that trend is spreading, banks and even government institutions like Fannie Mae are following suit and deciding that liquidating for pennies on the dollar is not the answer.

“We have made a lot of decisions in our company in the last few years betting on the idea that managers of REO portfolios will decide to rent and hold instead of liquidate and it appears that bet is finally going to pay off” says Melle. Over the last few years Melle says Renttoday.us has allocated a good portion of their operating budget to beefing up technology internally in order to accommodate investors with large rental portfolios and have also scrutinized every corner of their operation to maximize resources, streamline processes, and standardize pricing. “Investors such as Fannie Mae and others with thousands of properties to keep track of need consistency, standardization, and confidence in who they are dealing with in order to run a successful program. This is a great opportunity for all property management firms but they need to make sure they bring their best game.” says Melle.

The Fannie Mae rental program along with other financial institutions’ similar programs have just scratched the surface in what it will take to try and manage the glut of inventory that just keeps piling up. Experts agree that the wave of foreclosures is not over yet and the tide may keep rolling in through the next 5 years or longer. “Converting these non-performing assets into rental properties is really a win-win for all. The homeowner (if qualified) is allowed to remain in the home, the neighbors are not plagued by vacant or abandoned eye soars, the housing market is not weighed down with low-priced inventory, and the investor gets the opportunity to hold the asset in the event the market improves” says Melle.

For more information on the Fannie Mae rental program, you can visit their website at www.fanniemae.com . For information regarding property management or Renttoday.us please visit www.renttoday.us or www.wcpsinc.com

West Coast Property Specialists, Inc. (WCPS) is a residential asset management firm which manages a fast growing real estate portfolio of single family residences, multi-family units, apartment buildings and condominium communities located throughout Southern California. WCPS operates as an umbrella for a family of companies consisting of Renttoday.us – a premier property management and on-line rental portal; FixD Construction Co., a professional, licensed general contractor servicing the firm’s entire real estate portfolio performing all services ranging from minor rent ready to complete property rehabilitation and specializing specifically in residential investment properties; and Bale Investments Inc., a real estate brokerage firm catering to large portfolio investors specializing in facilitating bulk sales of residential portfolios.

Similar Posts:

• How’s the REO market in Ontario, CA? Your trusty market watchers at Renttoday.us are here to tell you…
• LA Times article: Housing Crisis a lift for rentals – Renttoday is quoted!
• What is all this short sale hullabaloo talk? And I think I need one…(Part 1)
• Rental Property Owners – When it comes to your tenants….Pick Your Battles!
• Renttoday featured in L.A. Times article!

Leave a Reply

Comment moderation in full effect!

All comments at www.renttoday.us/blog are moderated.

If this is your first comment, it will show up shortly. If this is your second comment and it's still not showing up, contact db to get things sorted out.

Markdown is available as it a very small set of HTML tags. If you don't know what these things are, don't worry, you can still comment!

Thanks for stopping by!