April 16, 2014
Rep. Mark Takano Statement on “Blackstone: Atlanta’s Newest Landlord” Report
Washington DC – Earlier today, the organization Occupy Our Homes Atlanta released its report titled “Blackstone: Atlanta’s Newest Landlord” showing that:
- Tenants wishing to stay in their homes can face automatic rent increases as much as 20% annually.
- Survey participants living in Invitation Homes pay nearly $300 more in rent than the Metro Atlanta median.
- 45% of survey participants pay more than 30% of their income on rent, by definition making the rent unaffordable.
- Tenants face high fees, including a $200 late fee for rental payments.
- 78% of the surveyed tenants do not have consistent or reliable access to the landlord or property manager.
After the report was released, Rep. Mark Takano issued the following statement:
“The report released today gives a snapshot of the experiences faced by Invitation Homes renters in the greater Atlanta area, and further shows the need for Congress and regulatory agencies to examine the growing phenomenon of large institutional investors owning rental properties. Local residents who rent from large institutional investors should not be subjected to unfair practices or poor service. I once again call on the House Financial Services committee to hold hearings on the issue, and request regulatory agencies begin looking at the emerging REO to rental market.”
Background Information:
In January, Rep. Takano released his “Rent on the Rise in Riverside” report examining the cause of rising rents in Riverside County, California. In the report, Takano discovered that one of the potential causes of rents increasing is the rise of large institutional investors purchasing single-family homes, renting them out.
Takano then sent a letter to House Financial Services Chairman Jeb Hensarling and Ranking Member Maxine Waters requesting Congressional hearings into single-family rental backed securities that are being developed by The Blackstone Group, Colony Capital, American Homes 4 Rent, and others.
Takano later sent letters to federal regulators, including the Department of Housing and Urban Development and the Federal Housing Finance Agency, requesting information about how institutional landlords can impact local housing markets and the tenant experience.