We-Work co-founder Adam Neumann has landed financial backing from Andreesen Horowitz after Neumann supposed acquired controlling interest in over 4,000 apartments. Flow is the name of the new company that is set to officially open in 2023. What does this mean? Silicon Valley and big money players are making big moves toward the rental market. If there was a better sign that real estate rentals (Commercial and residential) are now the new bright spot in real estate activity, I haven’t seen a better example recently.
We believe it is all about the trends, and with interest rates possibly stabilizing or rising slightly, it pushes down on home ownership and up on rental demand. You don’t need to be a billionaire to get that principle. If it were us, we are cautious against rental purchases for appreciation only goals in the near term, but where you can find cash flow, we are certainly pursuing deals. We can not and do NOT give financial, investment, accounting, tax, or legal advice, but we hope our thoughts on the matter and information made available are useful.