Realty411 Magazine Featuring Lori Greymont | Page 36

B2R Predicts Strong Year Ahead
for Rental Home Market
W
About Tim Herriage, Managing Director and Head of
Marketing and Business Development A 12-year real
estate investment veteran, Tim has purchased more than
1,000 single-family houses, many of which he holds as
rental property today. He is the founder of the larg-
est individual investor-focused trade show in the
U.S., the REI Expo, building on his passion for real
estate investing and the opportunity it represents for
those who want to take control of their retirements.
Tim Herriage also proudly served as a sergeant in
the United States Marine Corps.
hen B2R Finance
launched its
first products in
late 2013, it was
a game changer
for rental prop-
erty investors.
The company
was among the
first to offer
a financing
option designed
specifically for
small to mid-sized
buy-and-hold real
estate investors.
short, these
homes were
unleveraged
because of a
gap in the mar-
ket. B2R and our
competitors fill the
gap. As these smaller in-
vestors become more liquid, we
could see them pursue additional invest-
ment properties or reinvest in their current
properties, adding activity to the market.
Second, homes continue to recover val-
ue lost during the Great Recession. While
there is some speculation that declining
foreclosure activity might weaken the
overall opportunity, most of the investors
we encounter have always acquired sound,
cash-flowing rental homes from traditional
sources. Fewer homes underwater actually
mean an increase in the overall value of
our investors’ portfolios.
Changing demographics also serve to
bolster the SFR market. According to a
report from the Harvard Joint Center for
Housing Studies, 35 percent of households
rent, up from 31 percent in 2004, and of
them, 20 percent report no intentions to
buy, either because of macroeconomic
conditions, personal financial concerns or
for reasons of preference or lifestyle.
A growing renter base leads to lower
vacancy rates, which has led to favorable
rents for our investors. The average na-
tional effective rent rose 12 percent in the
Fast forward a year, and
the company is growing rapidly,
indicating a bright future for B2R and
the single-family rental market. This
year, according to Managing Director
Tim Herriage, B2R has ramped up to
meet the pent-up demand as one of just a
handful of companies offering this type
of product, and has added approximately
50 employees spread across three offices
in Charlotte, New York and Dallas. The
company is also looking to the future,
shoring up its leadership team by adding
highly strategic and experienced leaders
in new roles of CFO, COO and CEO.
Realty411 asked Herriage, also a long-
time investor in the single family rental
market, what’s next for the sector.
Herriage: We remain bullish in our
outlook for a number of reasons.
First and foremost, demand remains
high. As your readers are well aware,
98 percent of the nation’s estimated 14
million single family rental homes are
owned by smaller investors, but access
to credit for these investors had previ-
ously been incredibly restrictive – of
the millions of homes owned by small
investors, 10 million are not financed. In
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last four years.
Overall, the market is strong, with
returns averaging 9 percent, according to
Daren Blomquist, vice president at Real-
tyTrac, and annual gross returns reached
as high as 41.57 percent in Edgecombe
County, N.C., the highest of all the 586
counties recently analyzed. 
A recent Yahoo Finance story probably
sums it up best. In the Oct. 31 article, an
investment banker who focuses on putting
together deals that package loans to
investors noted, “The real market is this
market. It’s where everything is actually
going to get to.”
About B2R Finance:
B2R Finance, America’s Buy to Rent
Lender, is the leading provider of residen-
tial buy-to-rent mortgages for property
investors, with offices in New York, Char-
lotte and Dallas. The Company offers
effective and innovative lending solutions
dedicated to residential rental property
investors. B2R operates in partnership
with the nation’s leading commercial and
residential real estate experts to ensure
that its loan products and customer
service are in the forefront of the growing
residential rental investment market. B2R
can assist any size investor with a variety
of lending products to enhance customer
investment. Further information is avail-
able at www.b2rfinance.com or on Twitter
@B2RFinance.

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