Market Trends & Investment Landscape - Single-family home rentals are on the rise due to increasing difficulty in homeownership for average Americans [1] - Smaller investors are stepping in to buy single-family homes, comprising about 25% of purchases in the first half of the year, while large investors account for only about 5% [1] - Investors purchased nearly 1/3 of homes sold in Miami in Q4 2022, and about 1/4 in Atlanta; in California, investors own more than 50% of homes in 5 counties [1] Affordability & Housing Market Imbalance - High interest rates and economic uncertainty constrain the affordability index, making it difficult for the average American to afford housing [1] - In Nevada, the average income of around $50,000 is insufficient to afford a house, with older homes selling for around $350,000 and new homes around $450,000 [1] - Institutional investors' market share in residential real estate in Nevada is up 8 percentage points in 3 years, reaching 27% of the Vegas market [1] Policy & Potential Risks - Legislation to cap investor-owned homes at 100 failed, raising concerns about balancing wealth expansion and potential greed [1][2] - Privatization of Fannie Mae and Freddie Mac could introduce uncertainty and risk to the US mortgage market, valued at $14 trillion, without careful analysis [5][6][7] - Changes in Fannie and Freddie policies in 2023 have made loan-to-value ratios identical for investors and owner-occupiers [4]