Single Family Rentals
We believe Single-Family Rentals (SFRs) offer a unique combination of value creation, community revitalization, and investment flexibility that is increasingly difficult to replicate in multifamily assets.
Our experience across Virginia; Alabama; and Maryland has demonstrated that well-selected SFRs in mature, working-class neighborhoods can outperform expectations—both socially and financially.
We focus on acquiring properties in established communities with proximity to schools, transit, and employment centers. Many of our SFRs are located in areas eligible for public support (e.g., Section 8), allowing us to serve both subsidized and market-rate tenants.
By targeting undervalued homes and completing strategic renovations, we have consistently improved neighborhoods and delivered strong returns to our investors.
Why SFRs?
- Optionality & Exit Liquidity: Each SFR represents a discrete asset that can be sold individually, offering better liquidity and flexibility than multifamily properties.
- Community Fit: SFRs blend into residential neighborhoods and raise local standards through exterior and interior renovations, driving organic uplift.
- Tenant Preference: Many families prefer standalone homes with yards and privacy, driving consistent demand in our target markets.
- Resilience: SFR portfolios tend to perform well in downturns due to their affordability and decentralized exposure.
Track Record
From Richmond to Birmingham, our SFR assets have seen occupancy rates exceeding 95% with gross yields above 10%. By combining Section 8 and market-rate tenants, we’ve diversified risk while improving cash flow predictability. Our past portfolios show strong performance on both capital appreciation and income, underpinned by conservative acquisition costs and targeted renovations.
Geographic Focus
We are expanding our SFR strategy in the Southeastern U.S., targeting metro areas where:
- Home price-to-rent ratios remain favorable
- Regulatory environments support landlord operations
- There is long-term demand for affordable family housing
- Infrastructure and job growth are underway
Transformation with a Purpose
We don’t just buy properties—we invest in communities. Through strategic improvements, we elevate standards of living while safeguarding returns. This double bottom line is part of SOUSTA’s ethos: real impact, real returns.