SEVN - Renting The American Dream

• Single-Family Rental REITs have been one of the best performing property sectors since their emergence onto the scene in the mid-2010s, outperforming the REIT Index for three-straight years entering 2022.
• Too much demand, and not enough housing supply: Despite the double-digit surge in rental rates over the past year, rising mortgage rates have tilted the affordability scale further towards renting.
• Powered by the historic surge in rents, SFR REITs reported earnings growth of nearly 20% last year and have delivered dividend growth of over 30% per year since 2019.
• Investors - primarily "mom and pop" landlords - account for a growing share of home purchases. Rising rates will likely accelerate the expansion of institutional ownership across the single-family space and the maturation of "built-for-rent" single-family development.
• Property Technology - or "PropTech" - has been the key catalyst behind the maturation of the SFR REIT sector. Valuations appear attractive given the growth trajectory and long-term secular tailwinds behind the U.S. housing industry.

For further details see: