re: Blackrock will own 70% of Homes in 6 years. We will own nothing.

quote:

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Blackrock will own 70% of Homes in 6 years. We will own nothing.

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Complicated subject.

(1) Blackrock does not "own" a bunch of single family homes. Larry Fink points that out early and often. However, Blackrock does invest in Single-Family Rental REITs (SFRRs) like INVH and AMH.

(2) Blackstone got into the Single-Family Rental market with Obama Administration help. It eventually spun off its SFRR (INVH), which is now one of the largest out there. Though Blackstone divested, Blackrock is now an investor. INVH Mkt Cap is $19B.

(3) INVH and Progress Residential (privately held by the Pritzker Organization) are the two largest SFRR players. PR's holdings and presumed value are similar to INVH. AMH Mkt Cap is ~$12B. There are a handful of other SFRRs, but at those mkt caps, they obviously comprise a small % of overall SFH RE value ($35T est).

(4) However, those lower SFRR home ownership numbers can be misleading in cases of market and price-range concentration. E.g., they've heavily hit Atlanta and tend to focus on what might otherwise be considered "starter homes".

(5) With regard to Blackrock, Blackrock doesn't really own anything. The investors in its ETFs are the owners. BLK uses its ETF holdings to wield influence. Eventually the question will come, does an individual cede shareholder voting rights to Larry Fink when participating in an ETF. Fink is currently playing the game as if those rights are indeed ceded.