Rising Rates Are Pushing U.S. Families Into Rentals, Sternlicht Says

It is getting harder for U.S. families to buy a home, and that is playing into the hands of rental landlords.

There is a lack of supply in the housing market, which is why prices are skyrocketing and mortgage rates are the highest in more than a decade.

That benefits landlords like Starwood, which owns 100,000 apartments and 15,000 rental houses. An inflationary environment helps commercial real estate owners by increasing the costs of building new supply and increasing the value of existing properties.

Florida, Tennessee and Texas are red and purple states with pro-business governments. He said that his company continues to buy more rental units in areas where affordability is still ok.