The Federal Housing Financing Administration (FHFA) announced plans today that it is developing plans to sell off some of its foreclosed homes as rental properties. The idea is that this would help to reduce the glut of homes for sale in many markets. It also could help supply good quality rental housing in some areas where it is in short supply.
This is a good idea, although it is remarkable it just occurred to the FHFA now. Some of us have been pushing rental alternatives for 4 years now. In fact, it would be best if the rental arrangement was offered to the original homeowner. That way the homeowner is not out on the street and the government or the rental company is not in the position of having to hunt down a rental.
Progress is slow in Washington, but it is good to see at least baby steps. It is too bad that millions of people had to lose their homes before we could get even this far and that millions more will needlessly lose their homes in the years ahead because of the lack of clear thinking in Washington.