⚠️ Banks Offload REOs Before Earnings
Delinquencies hit 11.8% as lenders freeze deals and loans trade at 30-40 cents on the dollar
Commercial real estate debt markets are freezing up as delinquencies hit multi-year highs.
REITs and overleveraged private owners are quietly unloading entire portfolios at significant discounts to shore up balance sheets.
Passive Cash-Flowing Properties
Buy shares of investment properties, earn rental income & appreciation for anywhere from $100 to $20k — let Arrived take care of the rest.
The timing is colliding with an unusual dynamic: banks entered 2025 sitting on an outsized inventory of unsold foreclosures after year-end deal activity stalled.
That backlog is expected to flood the market in Q1 as institutions rush to clear their books before earnings calls.
For distressed buyers with pre-arranged financing, the next 90 days represent an unusually target-rich environment.
In this edition of the AltReports:
🧊 CRE Debt Markets Are Freezing
⚠️ Banks Buried in Unsold Foreclosures
🌊 900K Homeowners Now Stuck Underwater
📉 Blackstone Dumps $18B at Loss
🔥 Fire-Damaged Homes Flooding the Market
Video of the Week: I Quit My Job After 2 Investment Properties
Chart of the Week: Average Value of Farm Real Estate From 1970 to 2025
Podcast of the Week: 4 Signs a Recession Is Already Here
Real Estate’s Debt Engine Just Seized Up, Prime Distressed Deals Ahead
US property debt is snapping under high rates and delinquencies are spiking to multi-year highs.
The dominoes are falling—REITs and private owners are offloading portfolios at rock-bottom discounts to plug holes.
💡 Investor Takeaway: Call special servicers and distressed debt brokers to get on their buyer lists for bulk REO packages.
Year End Slowdowns Leave Banks Drowning in Unsold Foreclosures
Year-end slowdowns have banks sitting on a mountain of unsold foreclosure homes.
That growing backlog will blow out REO listings in Q1 as sellers scramble to clear their books.
💡 Investor Takeaway: Line up your lender and inspection crew now.
900,000 New Homeowners Are Underwater—Big Trouble in the Housing Market
Nearly 900,000 new homeowners are now stuck owing more on their mortgages than their homes are worth.
With prices slipping and interest rates high, that equity gap is only widening.
💡 Investor Takeaway: Research homes purchased in your target markets between late 2021 and mid-2022.
Blackstone Takes $600M Hit on $18B Senior Housing Fire Sale
Blackstone just took a $600M hit to unload its $18B senior housing portfolio, signaling this market is broken.
Lenders have slammed the brakes as occupancy drops and cashflow dries up, forcing a scramble to dump underperformers.
💡 Investor Takeaway: Target facilities with 70-80% occupancy that need minor upgrades, not full turnarounds.
Fire-Damaged Homes Are Discounted and Overlooked
A wave of fire-damaged houses is clogging the market as sellers struggle to offload charred wrecks no bank will touch.
That lack of demand and financing is dragging sale prices down and creating a flood of discounted listings.
💡 Investor Takeaway: Contact fire restoration contractors and get pricing estimates.