News
Blackstone, Cerberus, Colony Grow Presence in $30B Home Flipping Market
May 11, 2015
Home flippers seeking capital for purchases have seen their traditionally high borrowing costs fall as competition increases among lenders. Blackstone Group LP, Cerberus Capital Management and Colony Capital Inc. have started offering bridge loans to investors in the fix-and-flip market, where there is potential for as much as $30B in annual origination. Home flippers are seeing bigger profits due to inventory shortages, lack of new construction and higher prices. The firms are focused on lending to experienced investors who survived the crash, which eliminated many of the less prominent investors. [Bloomberg]
