Piedmont, CA (PRWEB) June 04, 2014
Big business investors are starting to reconsider their entrance into the home-rental business with the sudden, and significant, increase in home prices over the past two years. At its peak, the wave of distressed properties inspired mass splurge shopping by larger investors. Now that the wave is past – largely due to the massive number of purchases by investors – the return on investment (ROI) is not as enticing.
“With investment firms absorbing most of the inventory, is it any wonder home prices have skyrocketed,” asked Piedmont, CA real estate agent broker Anian Tunney. She makes a valid point. If the new home-rental industry began more cautiously, instead of buying as many properties as possible in as short amount of time as possible, it might be in considerably better condition.
The single-family home rental industry is finding that instead of “flipping” a property for a tidy profit after renting it for a few years, they need to think on a much longer term to attain the desired return. The problem is that the investors need people to invest in them, and the interest in the industry is significantly cooler now that the ROI is significantly longer. In fact, of the four companies that went public to finance their expansion in the rental-home industry, only one is trading for above their IPO price.
As a realtor, Tunney does not support the idea of single-family home rental as big business. Luckily for her, the likelihood of that business spreading into her market – the upscale Piedmont and Oakland Hills area of the San Francisco Bay Area – seems slim. Investing in and maintaining historic multi-million dollar houses and accompanying property would not be attractive to investors. One such home for sale in Piedmont is 87 Sea View Avenue, offered at $5,250,000. Built in 1945, this expansive home has three stories, a pool, au pair quarters, elevator, and is much more suitable for owner occupancy.
About Anian Tunney, Broker Associate
Anian Tunney is an agent broker with The Grubb Company. According to statistics collected by East Bay Regional Data, Inc., she was the 2013 number one real estate agent in Piedmont, CA for the number of units sold and sales volume. Additionally, Tunney is always in the top two in yearly real estate sales for The Grubb Company’s Piedmont, office. She is known for her knowledge, experience, and network in the Piedmont community; qualities which are invaluable for finding that special home or buyers for her clients. Tunney also supports the Piedmont schools in a big way.
A fifth generation Piedmont resident, Tunney has been with the Grubb Company for over 30 years. She raised her family of four in Piedmont and is active in community projects such as the Piedmont Beautification Foundation, and the East Bay Museum Auxiliary. Her grandmother, Amy Sutton, was a real estate agent, and now Anian works with her daughter Adrienne Krumins, making Piedmont Realty truly a family vocation. Tunney negotiates with grace and clarity of purpose. She can be contacted at 510-339-0400 ext 217, and at tunney(at)grubbco(dot)com. Her website is aniantunney.com.
The Grubb Company Real Estate Brokers
Oakland, CA 94611
510-339-0400 ext 217