7 REITs To Consider For A Highly Volatile Market
By Vatalyst:
Mortgage REIT Two Harbors Investment Corp. (TWO) has an interesting new business plan designed to take advantage of America's new economic reality. It has entered the housing business by buying single family residential properties - in other words, houses.In its May 2 earnings release, the Two Rivers management team admitted that they had bought up $6.1 million worth of houses in various American cities. The release included a piece of doublespeak, called a "New Frontier" statement, which included this little gem:
As of March 31, 2012, the company had purchased $6.1 million in properties which are classified as investment in real estate on the consolidated balance sheet. The company intends to hold these properties for investment and rent them for income.
Yes, you read it correctly. Two Rivers intends to become a landlord as well as a buyer of mortgage derivatives. The problem here is that this investment couldComplete Story »
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