As they say, timing is everything. Capstone investments started buying single-family homes in Phoenix, Arizona in 2010, with a simple vision – buy distressed properties with no leverage and rent the pool of homes. At the time, the American economy was struggling, the banking industry was in disarray and housing prices were bottoming out. Five years on, the economy has recovered, the banking industry has reorganized itself and home prices have recovered significantly – it seems so simple in hindsight.
Raintree Financial Solutions distributed Capstone investments from 2011 to 2014. We are continuously searching the market for opportunities to capitalize on value investment opportunities. This is a key component of our role in the capital markets. Capstone is a great example of buying at the right time, with a solid strategy and reducing downside risk by not taking on leverage.