RE Financial's value investing strategy minimizes risk while maximizing returns.
Real Estate Investment
RE Financial LLC started as a buyer of distressed real estate, initially buying most of its properties at foreclosure auctions. While it was agnostic to property type, foreclosure auctions are primarily driven by residential properties. During its early years, RE purchased over 150 houses but quickly moved on to other asset classes. Today, it invests in a diverse set of asset classes, including apartments, ranches, mobile home parks, subdivisions, office buildings, and residential. For its first 15 years, RE was a value base acquirer of real estate, primarily focusing on direct deals. By buying distressed or value real estate at a steep discount, RE was better able to maximize returns and deliver consistent profit. However, more recently, RE has shifted focus to take a more passive role in investments by backing other investors. Some of its more recent deals include backing investors in acquiring low-income tax credit apartments and building or buying mobile home parks.