Financial Data and Key Metrics Changes - The company reported Core FFO per share of $0.47 and AFFO per share of $0.38 for the third quarter of 2025 [20] - Same store NOI growth was 1.1% for the third quarter, which is typically the most modest growth period due to elevated seasonal turnover [16] - The company ended the quarter with total available liquidity of $1.9 billion, providing financial capacity and flexibility [18] Business Line Data and Key Metrics Changes - Same store renewal rent growth was 4.5%, 30 basis points higher than the same period last year [8] - Average resident tenure increased to 41 months, indicating strong customer retention [8] - New lease rent growth was slightly negative at -2.9% due to elevated supply in select markets [15] Market Data and Key Metrics Changes - The company noted that overall affordability remains stretched, with many households finding leasing more economical than homeownership [7] - The average savings for those who choose to lease compared to owning is approximately $900 per month [7] - Preliminary same store results for October showed occupancy at approximately 96%, consistent with expectations [16] Company Strategy and Development Direction - The company is pursuing channel-agnostic, location-specific growth focused on long-term total returns through partnerships with home builders, construction lending, and third-party management [9] - The capital allocation framework aims to fund organic growth, invest in high-return opportunities, and maintain a strong balance sheet [10] - The company plans to host an Investor Day on November 17, 2023, to provide deeper insights into its strategy and growth initiatives [10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the durability of demand for well-located single-family rentals, supported by strong long-term fundamentals [10] - The company is optimistic about the potential for lower mortgage rates to increase liquidity and transaction volumes in the housing market [10] - Management acknowledged the dynamic operating environment and emphasized the importance of operational excellence and customer-centric service [12] Other Important Information - The company successfully completed a $600 million bond offering in August, maturing in January 2033 with a coupon of 4.95% [19] - The Board of Directors authorized a share repurchase program of up to $500 million as part of its capital allocation strategy [20] Q&A Session Summary Question: Supply outlook for 2026 regarding build-to-rent deliveries - Management noted that the supply backdrop includes build-to-rent deliveries and potential conversions of for-sale products to rentals, with a cautious optimism for markets like Florida and Atlanta [26][27] Question: Concerns about occupancy and achieving guidance - Management indicated that the occupancy dip to 96.5% was expected and emphasized the strength of the renewal business, which accounts for over 75% of their portfolio [32][33] Question: Negotiation tendencies of tenants in build-to-rent communities - Management confirmed that tenants do negotiate on renewals, but there is no significant difference in behavior between build-to-rent and scattered site portfolios [36] Question: Impact of Washington rhetoric on home builders - Management observed softening demand among home builders but noted that they are managing inventory better and are encouraged by production plans for 2025 [41][42] Question: Capital allocation and acquisitions guidance - Management discussed the opportunistic buying of homes at discounts and the importance of balancing acquisitions with stock buybacks as part of their capital allocation strategy [45][51] Question: Demand drivers and pricing power - Management expressed confidence in demand for single-family rentals, noting consistent website traffic and the effectiveness of their value-added services [69] Question: Loss to lease and turnover expectations - Management indicated that loss to lease is in the low to mid single digits and expects turnover to return to long-term averages, driven by the affordability gap [71][76] Question: Performance of non-same store acquisitions - Management acknowledged that acquisitions from 2022-2023 may have more challenges in aligning with margin expectations but remain confident in their investment strategy [84] Question: Public versus private market valuation disconnect - Management expressed frustration with the valuation disconnect but emphasized their strategy of recycling capital to create shareholder value [88][89] Question: Competitive supply dynamics - Management noted that while there is no acceleration in supply, they are cautiously optimistic about certain markets and are prepared to be more aggressive in filling vacancies [94]

Financial Data and Key Metrics Changes - The company reported Core FFO per share of $0.47 and AFFO per share of $0.38 for Q3 2025 [19] - Same-store NOI growth was 1.1% for the third quarter, which is typically the most modest growth period due to elevated seasonal turnover [15] - The company raised its full year 2025 guidance, increasing the midpoints for Core FFO and AFFO by one penny each to $1.92 and $1.62 per share, respectively [21] Business Line Data and Key Metrics Changes - Same-store renewal rent growth was 4.5%, which is 30 basis points higher than the same period last year [7] - New lease rent growth was slightly negative at -2.9% due to elevated supply in select markets [14] - Blended rent growth for the quarter was 3% [14] Market Data and Key Metrics Changes - Average occupancy for Q3 was 96.5%, consistent with expectations [13] - Preliminary same-store results for October showed occupancy averaging approximately 96% [15] - Renewal spreads in October remained strong at 4.3% [15] Company Strategy and Development Direction - The company is pursuing channel-agnostic, location-specific growth focused on long-term total returns through home builder partnerships, month-end inventory, construction lending, and third-party management [8] - The capital allocation framework aims to fund organic growth, invest in high-return opportunities, and maintain a strong balance sheet [9] - The company plans to leverage its share repurchase program as part of its disciplined capital allocation strategy [19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the durability of demand for well-located single-family rentals, supported by strong long-term fundamentals and healthy demographics [9] - The company is optimistic about the potential for lower mortgage rates to increase liquidity and transaction volumes in the housing market [9] - Management noted that the current landscape presents both opportunities and challenges, emphasizing a customer-centric approach and operational excellence [12] Other Important Information - The company will host an Investor Day on November 17th to provide deeper insights into its strategy and growth initiatives [10] - Total available liquidity at the end of the quarter was $1.9 billion, providing financial flexibility [17] Q&A Session Summary Question: Supply outlook for 2026 regarding BTR deliveries - Management noted that the supply backdrop is nuanced by market, with some markets like Florida and Atlanta showing positive signs, while others remain competitive [24][26] Question: Concerns about occupancy and guidance for Q4 - Management confirmed that the occupancy dip was expected and emphasized the strength of the renewal business, which accounts for over 75% of their book [30][32] Question: Negotiation tendencies of tenants in BTR communities - Management acknowledged that tenants do negotiate on renewals, but they do not see a significant difference in behavior between BTR and scattered site portfolios [35] Question: Impact of home builders' inventory management on business - Management observed softening demand among home builders but noted that they are managing inventory better and are optimistic about production in 2025 [39] Question: Capital allocation and acquisitions guidance - Management indicated that acquisitions are driven by builder relationships and opportunistic buying, with a focus on maintaining a balanced approach to capital allocation [43][48] Question: Demand drivers and pricing power - Management expressed confidence in demand for single-family homes, noting consistent website traffic and a healthy customer profile [64] Question: Loss to lease and turnover expectations - Management indicated that loss to lease is in the low to mid-single digits and expects turnover to return to closer to long-term averages [67][71] Question: Performance of non-same-store acquisitions - Management stated that homes acquired in 2022-2023 may have more challenges in aligning with margin expectations due to market conditions at the time of purchase [80] Question: Public versus private market valuation disconnect - Management acknowledged frustration with the valuation disconnect and emphasized a disciplined approach to capital recycling and shareholder value creation [84]

Financial Data and Key Metrics Changes - The company reported Core FFO per share of $0.47 and AFFO per share of $0.38 for Q3 2025, reflecting a stable financial performance [18] - Same store NOI growth was 1.1% for the third quarter, which is typically the most modest growth period due to seasonal turnover [13] - The company ended the quarter with total available liquidity of $1.9 billion, providing financial flexibility [16] Business Line Data and Key Metrics Changes - Same store renewal rent growth was 4.5%, 30 basis points higher than the same period last year, indicating strong pricing power with existing residents [5][12] - New lease rent growth was slightly negative at -2.9% due to elevated supply in select markets [12] - Blended rent growth for the quarter was 3%, supported by a 7.7% increase in other property income driven by value-added services [12] Market Data and Key Metrics Changes - The company noted that overall affordability remains stretched, with many homeowners locked into lower mortgage rates, which continues to support demand for single-family rentals [4] - The average resident tenure increased to 41 months, among the best in the industry, reflecting customer satisfaction and stability [5] Company Strategy and Development Direction - The company is pursuing channel-agnostic, location-specific growth focused on long-term total returns through partnerships with home builders, construction lending, and third-party management [6][7] - The capital allocation framework remains unchanged, focusing on organic growth, compelling long-term returns, and maintaining a strong balance sheet [7] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the durability of demand for well-located single-family rentals, supported by strong long-term fundamentals and healthy demographics [8] - The company anticipates that lower mortgage rates could positively impact the housing market, increasing liquidity and transaction volumes [8] Other Important Information - The company announced a share repurchase program of up to $500 million as part of its disciplined capital allocation plan [17] - An Investor Day is scheduled for November 17, 2023, to provide deeper insights into the company's strategy and growth initiatives [8] Q&A Session Summary Question: Supply outlook for 2026 regarding build-to-rent deliveries - Management noted that the supply backdrop is nuanced by market, with some markets like Florida and Atlanta showing positive signs, while others remain competitive [22][24] Question: Concerns about occupancy and new lease growth - Management confirmed that the occupancy dip to 96.5% was expected and emphasized the strength of the renewal business, which accounts for over 75% of their portfolio [30][36] Question: Impact of immigration policy changes on demand and construction costs - Management acknowledged that immigration policy changes could have some effect, but noted that occupancy remains stable and construction costs are generally under control [69][71] Question: Performance of non-same store acquisitions - Management indicated that homes acquired in 2022-2023 may have more challenges in achieving expected margins due to market conditions, but they remain confident in their investment strategy [94] Question: Disconnect between public and private market valuations - Management expressed frustration with the valuation disconnect but emphasized their focus on executing their strategy and utilizing share repurchases as a tool to enhance shareholder value [96][98]