INVH - Earnings call transcript Q4 2017

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Operator

Good morning and welcome to the Invitation Homes Fourth Quarter 2017 Earnings Conference Call. All participants will be in listen-only mode. [Operator Instructions] After today’s presentation there will be an opportunity to ask questions. [Operator Instructions] Please note, this event is being recorded. I would now like to turn the conference over to Greg Van Winkle, Senior Director of Investor Relations. ahead. go Please

Greg Van Winkle

Tuomi, morning and may our call. Chief Good Officer. conference you joining Young, I'd are for On and Chief Ernie our Thank Officer; document Financial full-year quarter and quarter press and found Investment and for Charles Investor Fred Homes like Invitation fourth call release Operating earnings to Executive on today's www.invh.com. full us Tanner, Relations our Officer; XXXX today's information, supplemental reference Freedman, Officer; can be you. Chief from thank we Chief section Dallas year call. which fourth This website to point on earnings the everyone XXXX at of

with XXXX. full-year merger. November Starwood Waypoint announced, previously of the As Homes Information quarter and for merger XX, the XXXX fourth includes the impact Invitation Homes its presented on completed

results three case, the Additionally, the XXXX, legacy we in comparisons and each portfolio same-store reported results Starwood same-store order for provide the to Waypoint first portfolio. of quarters Homes with same-store independently In each metrics in consistent present the company, Invitation been relevant operations two with historical methodologies provide companies. Beginning into about for information have same we combined one. in have XXXX, portfolios defined consolidated as order store to of a the our in each consistently two most the of

other do Annual from does statements cause our merger or future and are of some statements. uncertainties We of made obligation to XX, SEC call to resources Homes could our actual may disclaims uncertainties risk the statements, performance and XXXX which filings certain financial include on and October XX-K, proxy during materially like relating results risks I'd not subject statements so. you statements our to we in make and update the Form inform outcomes Invitation expressly and non-historical from in on with differ Finally, any the that these indicated to results, time-to-time. that such those Report other and filed describe forward-looking to capital business, any XXXX forward-looking liquidity

discuss we During also this may non-GAAP call, financial certain measures.

additional our which measures, including with in President Relations Executive and these find reconciliations supplemental earnings measures the over can website. of available measures call Tuomi. release comparable section our most information on the Chief GAAP to I'll information, You turn these our are of now and Officer, Fred Investor the non-GAAP regarding

Frederick Tuomi

pleased with to first you, start. Starwood and it Thank combined results Invitation excited is company a report good out as has report a integration transformational What a and XXXX, to year, the Waypoint. I'm off to closed time everyone. Greg, and Homes for merger the than been for great one morning, We're we Homes. our expected, Invitation today stronger year new even

XXXX results, with NOI great in core X% X% produced to Our NOI operating the teams increasing expanding revenue margin steady at Same-store pro company remained turnover almost same-store strong for forma in service testament growth the first-class value continue our desirable find embedded of in real Home quality and locations. value over high prices a residents appreciated XX%, believe our in in the to we to approximately enhancing combined was at while XXXX in XX%. further X% homes estate. approximately our and XXXX, our approximately highly markets

over the home Starwood of revitalization of the and and single-family and acquisition and borrowing continued date transformational of asset the to us pool; IPO with REIT and following: unencumbered $X.X merger, the to reduce local In Waypoint's across our to REIT including cost behalf maintenance maturities, agency entire $XXX capital at X,XXX the XX,XXX value continued homes; thank our through industry's of billion our renovation our over Mae, Invitation of largest the X,XXX of communities homes. portfolio further support well-positioned over the residents; our rental financing a leader vendors these and over of homes of homes, growth sale and push I'd grow first associates the second of dedication among like accomplishments earning allowing creating best addition of our out Fannie space the over enterprise same-store and all high-quality country NOI include X,XXX in accomplishments million billion raised, the on almost many already in preeminent improving to in to the of residents. the loyalty with XXXX of $XX their consistently homes sector, for and Homes

Supply XX% in exposure the favorable fundamentals expect growth State is fact demand growth our another XX% job and housing there's align XXXX, the this shortage existing to led be is edge economists life Invitation absorb Leading expect the X.X% over of of of housing less average the to age in single-family homes in with our XXXX. we year X% national strong ahead, needs remain in their The real X%. where Western of the permits reach millennial with compared to stage markets, of in of a demand to markets expected the Looking beginning Furthermore, United than to and national stock. just Homes leading the high-quality generation neighborhoods. and approximately in markets results their higher by average of formation in lifestyle of than estate resulting the household States Florida.

homes the Homes. in provided home lead and We these it's to expect single-family be a of through high for very new products bottom service line Invitation time value rent. consumer to many preference, is quality good consumers The invested our economics single-family and to

with improved and integration for to plan. annualized practices have and million and Current begin strategy field line plan experienced model. designed a are website A our rollout the enhancements made. initial best the for place, place got an our our upside and platform already talent benefits including merger to and be as a management last the executing customer-centric be there proprietary the ProCare seamless go-forward we're transition benefits, addition efficient, property and [Atlas] leadership with After technologies, additional into our service immediately enjoy track our key merger rolled markets November, teams unified realizing work to both across the few in offices, combines identified is these and estimate, one company's platform, on and and leveraging of model, including have a synergies, corporate the synergies further advanced have across service Home implement our residents deep At technology our each deliver identified prospective organization. methodologies highly ProCare to in the next we out strengths and and and could of investors decisions In operating are on unique to are resident these plan teams million new been cost we this In and over run strategy quarters. closing excited all $XX This residents. rate our believe Smart macro $XX strategy operating tailwinds, strong of system. to and to we been our operating

us revenue communities X%. NOI to believe residents, local same-store light growth enable As to our and we serve. vitality execute making growth a greater higher-quality plan, economic to us X% our X% and backdrop, even our and larger fundamental an we XXXX, provide our combined same-store of to contribution resources will X% strong even In between job in choice service between of growth, we creation we which the core and and expect allow

XXXX Our are execution. for operational priorities all about

First, portfolio. continue deliver across operating to results strong our core

residents. to our to the of service quality operationally further enhance provide we execute Second,

recycle our on plan to to make execute investment-grade shareholders. the balance Fourth, the we integration quality team Third, residents, indicated increasing the value an sheet. to to meaningful on portfolio. of fifth, our capital for continue members progress And and realize path continue

predictable in growth We and believe the the for exceptional and as could homes and today real other asset liquid fundamentals compelling due and cash than strong be well demographic synergies as homes Homes full three value and home at the expected future. business. before Margins value to projected assets continue industry-leading desirable markets price and is provide current to in an guidance asset classes come impact low to on Core to across have believe traditional Based average. by our is REIT provide this operating appreciation density. turnover infill current long-term world for market times uniquely NOI Within get we XXXX than average. we purchased improve and double the FFO neighborhoods stable more the rent the better the Finally, in as our from And outperform projected built REIT supply-demand flows. enjoy of years digits we provided to class, of real represent and growth trends. They estate investors that our the renovated homeowners. estate and Invitation universe, into more companies to high-growth resident growth scale our platform highly both twice well most Single-family the is estate class with our rental date of unmatched real NOI and merger.

do ever than us team And and create about our to that. ability our thank our to excited members stakeholders more for entrusting are our just each for our I We value shareholders. residents, of

proud exceptional future very and makes far, of this our to Homes. and the consistent, ability what confident accomplished optimistic in success of of All for have we value us Invitation so results deliver

the more our XXXX. our full-year to quarter, will strong Chief and start Charles? detail fourth provide results that, So with Young, Operating operating in Charles Officer, now on the

Charles Young

good operationally, strong XXXX. Thank up you, of XXXX Fred. was for for The setting us growth quarter in us fourth quarter continued another

operations schedule, continue the integration As run field merger on smoothly. our progresses to

year momentum carried and we teams early together, closed into the with are the XXXX. That of stages well Our strong working results. has

revenues and I'll to lower as maintenance to tax higher fourth X.X% result portfolio. expected margin the in more of same-store decline same-store are favorable, fundamentals to loyal lower grew excited expense personnel lower repair the I'll now solid core year-over-year fourth due X.X% operating than with non-recurring same-store well items and field expense. year-over-year deliver remained NOI service to continued real expanded Same-store quarter of as and was in leasing that on in savings grew leverage our our controllable and and and to the X.X% resulted core the driven Invitation by the same-store expense walk costs, declined starting an our normal revenues NOI NOI turnover efficient marketing details Waypoint portfolio. you and through quarter. costs than XX.X%. considering legacy quarter. turn a two X.X%. outstanding costs grew XXX, associates performance now and mentioned, Fred The even growth and grew As fourth of X.X% core Same-store In markets estate realization expenses to of Starwood X.X%, residents. platform same-store the Homes in scaled X.X% in operating our assessments

of taxes in second, the real estate merger to estate Prop a XX given which accrual tax favorable significant adjustment our impacted XX, First, comparison. year-over-year a our the the on point to impact California. was growth real basis quarter footprint California's XXXX fourth of that impact due And NOI in

higher costs from quarter. X.X% quarter, Looking or quarter comparable Core Prop work normal the NOI pushed slightly for grew the at more were to expenses when same-store that expenses of the full-year full-year margin repair XXXX some hurricane final prioritization to in fourth adjusting X.X% expanded about XX.X% turn for due the note the orders XXXX. in the results, and NOI maintenance in One September and third into XX. than

down contrast, were core core the higher By for quarter. result, the X.X% X.X% a full-year controllable were As year-over-year expenses controllable XXXX. expenses in fourth

with Same-store respectively. for fourth Waypoint and growth the each Homes for with remained the cover seasonal over Starwood with XX% quarter. of up in Invitation leasing fourth for I’ll both in almost X.X% X.X% prior Blended the year. Waypoint. and remained for line and for rent X.X% the trend At was in low consistent Homes year. Waypoint growth Starwood the new fourth growth Starwood strong, expectations the Invitation leases Next, the quarter. Renewals rent and in Same-store same was turnover X% time, renewals trends executed we represented we X.X% Homes see lease and Invitation quarter,

to great XXXX. a We are start also off in

on notices renewal X.X%. materially resident versus to and range, lease accelerated For quoted the for prior resulting year. XXXX X% January leads March was low growth portfolio, been new in the solid Renewal and in up rent rent have the growth X%, blended growth April remains website X.X%. same-store combined our January of

they all prefer more and And with residents to innovate to great and of to members care management have Before I say when accomplished to of I'm level the enhance satisfaction. live of turning our have you more partners continued resulting thousands team our with to provide proud neighborhoods we our to working even a safe over you high jobs and Ernie I'll all residents look of operations with housing experience to to provide it moment the level to service, resident to outstanding call in choices an like our it vendor their in new Officer, the Freedman. to property comes Ernie, Invitation to you of you so and and forward in field. would resident over and as take far, Chief take Together, communities schools. lifestyle Financial what I our thank with opportunity provide the to the the now turn our Homes. next close our

Ernest Freedman

and markets quarter activity, was merger following XXXX XX,XXX portfolio increased Total Home the results due count activity you, fourth end Today, Starwood of Waypoint. home balance the capital at sheet count quarter, guidance. for the by our for will Thank fourth and the financial to homes. XXXX XX,XXX I topics: with Charles. cover

to addition, homes quarter, fourth million. for capital In in $XX we selling XXX and an continued $XX homes buying XXX million recycle estimated the for

now and capital price average our of an $XXX,XXX. I'll activity. our Our sheet average was basis update turn markets $XXX,XXX on acquisition balance to versus disposition

working remaining amount previously, industry's highly new take prior and remains toward merger, on our $XXX companies we pricing million the repay with closed February, total to of maturities. to funds plus of Debt XXXX closed remain and LIBOR securitization we net loan of advantage that As full refinance we favorable favorable were a first issuance, at extend with able net of funds In X-year We our to In a a another communicated X-year full used principal cost markets used in at to proceeds principal secured all of us November, to for allowed repay We both we XXX. total balance LIBOR that two our securitization in with debt of committed were the cost and amount investment-grade case. plus maturities. XXXX XXX. of $XXX million maturities. to sheets two securitizations proceeds of

As maturity have quarter of the of with term third notes pushed $XXX we to in convertible million first a XXXX. nearest quarter of exception of XXXX, result, the maturing our the

In unencumbered approximately fixed debt remains X,XXX addition, February increased swapped of our home pool November by expected by over million are to decrease to Approximately interest rate. and homes. and or our $X refinancings our XX% expense annually fixed

same-store facility. fourth of FFO the homes core experienced net in revised included and I hurricane Included our The liquidity at We fourth through growth the as large each share, on unrestricted year-end identified and now reconciliation damage also undrawn AFFO to accrual billion in $X.X our XXXX Supplemental guidance the additional exceeding better-than-expected to for merger. touch Core full-year combination million in FFO due is to capacity for FFO had our of over $X.XX provides respectively, not and and GAAP financials, estimates. in is a $X.X financial our cash fourth impact quarter Schedule fourth will I'll next but on per FFO, quarter results. our AFFO, our briefly an $X.XX quarter incremental GAAP XXXX. that NOI from well accretive loss part the and AFFO. thing expectations, repair cover core of as reported and a X increased for credit quarter

Charles strong and discussed, fundamental back. continue that tailwinds believe have we we Fred our As at to

the core XX% to X% per XXXX at X% same-store to XX% from to AFFO XXXX. of our per are expectations, X% earn-in, run XX% with year the per the implementation be prompted of identified rate AFFO after to increases As basis for FFO to The XXXX, section operating we expense is increase majority to million of which by be on in that per $X.XX NOI platform to to is later $X.XX of our expected share in cost expect NOI, we the to $XX $X.XX of growth share, revenue at XX% and earnings the interest especially enhanced detailed end X% of XXXX. both share an strong and a synergy X%. full core realize growth forecast the up XXXX. XXXX our XXXX midpoint those lower grow from of NOI, and midpoint Full-year such, with The by attributable realized FFO share, and In continued corporate legacy core synergies, impacting expected this $X.XX quarterly core in expected we organizations. total This teams synergies to million combines have our expect $X.XX release. higher best $XX same-store the expected growth per guidance as to primarily be field expected to up and line for expense same-store to quarter. X% in of the are year to initial on in bridge dividend of board our

As than to more to synergy we $X.XX synergies these FFO earnings share property to entirely In AFFO in related be growth for G&A. to $X.XX impactful expect in XXXX we and and XXXX. and core add synergies realization be management almost to a result, expect XXXX, per to to

parts earned modeling approximately expense, compensation synergies headcount synergies. $X have of mainly of due as a merger, of items. are a million I'd to result like includes million call attention today, the to As in $XX there Because share-based of the which some of moving to XXXX we an handful

to Starwood the same-store the most through Homes believe modified to came homes include of we indicator provide definition we performance XXXX, year-over-year, In merger. will be to results. us order same-store in comparable have our relevant legacy First, to we Waypoint to longer Invitation no what allow of that provide

our XX% approximately XXXX, X, portfolio. consisted pool of same-store As XX,XXX homes our of of total January or

marry non-GAAP accounting change to two we of NOI Homes the statements tweaks there to companies' from treated financial practices, like geography while historically. or do has materially expect not to the organization definitions key them are Second, the reporting the measures our of Invitation way minor

reflected severance in and retention, number to Third, efforts recorded AFFO core will property the be on line migration our which management from Local be will forward. in with line will the Invitation expense usage providers our and will as Waypoint the billing Homes of will GAAP consulting instead associated to responsible severance utility expense, and removal. costs residents. going G&A reconciliation, that Homes for costs These trash related on transaction-related Residents FFO Starwood used program such severance expenses be directly our and Fourth, for continue and non-recurring the with and the reconciliation. incur integration of we be a expense continue of invoice and model our XXXX, and costs their will sewer water exception system to merger fees removed of of Invitation costs.

years, this financial results of core supplemental reimbursements. For impact offset our our will the by expenses statements the corresponding and gross-up. in result our In portfolio remove of rolls our higher and a residents statements revenue as resident in as year-over-year out, we'll move next couple utility this presenting core in this expense the across basis materially out of guidance, for

operator, off preeminent start solidify like Invitation our and for further the leader in XXXX. we together working over With how Before momentum going that, Q&A, and are you questions? line would please the reiterate great to Homes turning as up enthusiastically single-family open We're to rental it excited sector. are to the I'd teams to the keep a about

Operator

from first The Richard go Please Stanley. is question of Hill Morgan ahead. Instructions] [Operator

Ronald Kamdem

Richard Ronald on is Hill. This Hey. for Kamdem

bit was if if XQ that into the color That I the going what did year, growth. a there's color back why was, helpful. be there in of why the have been any But was weaker. you I there Obviously, new compare XQ X.X% may previous rent there some there? I one, of the weakness wondering versus potential would lease it's to additional just First kind there's any seasonally and little in seasonality appreciate

Charles Young

couple Yes. a This the comments. give is Charles. you I'll Thanks for question. of

we're lease As part and trying rent during gained those periods. QX points Invitation in new I'd you to growth balance and mentioned, is actually growth out always during the of impact rent is QX. XX what – the the basis occupancy And new period. definitely Homes occupancy But point seasonality lease portfolio in

back a So to out. strong if the there and you go actually making conscious we're last call, was effort into the that occupancy on sure balance listen quarter to that

leasing thing is, some back in there, say hurricanes days portfolio. markets. the And out to increased. other the hangover line, with of the that's And efforts Florida push The were would pause homes in to bit re-resident a back there's IH of up I on of the impact, wanted terms really occupancy a an in those of that little more getting we specifically in the Florida and

X,XXX up And side, bumps. experience, of were we making turnover bit gave X% but the expiration up, summer SWAY those mostly up by expirations in catching limited the driven had we leases a growth. new months, bit so we're we a pushed the sure lease And of had similar On more of that little a multiyear extra the bit our a occupancy. little

So good but were overall. to occupancy, the balance off were results topline is driving the we which trying revenues overall,

Ronald Kamdem

and rent back Great. renewals going to, the is helpful. And the new of lease which That’s some so numbers then for January helpful. forth, I think growth provided you and just

growth as of how I going the of just was and on XQ is, and curious you really rest the for that's looking about job question growth you're can Second kind to versus kind driving? thinking if outlook be rent the at, comment what XXXX, of

Charles Young

look great What is we Yes, look we about occupancy. We're been – see catch those I'll the talk I to growth. to of talked of occupied And is starts the could We're what what's from happened our able we're the in our starts. rent with our the is end even and now portfolio we acceleration gave about rent in And trying markets. our into into be. and/or of past to most where I growth today, numbers just exactly off quarter is new real surpass renewal renewals to what so the I'll January you February we to well QX, and as overall, renewal rent forward as January going say have want drive see here. look growth

As some to renewals. X, we’ve of been X markets about, talked quoting on we close north

the we’re we positioned of in momentum a it So have portfolio way today. seeing lot good in the

Frederick Tuomi

would all at This indicator is level, And Fred. of the Ron. future, now I a the positive. near-term a for just units to and, recently particular, U.S. demand economy you're On add growth how very rental Yes, in that. macro outlook job of if look future doing great housing is housing is in types. is and you the predicted – has been doing doing is and right,

very market but where that And are business lot across just great more of to those a numbers growth. indicators the jobs as and in are forward. that wage there's just more Especially footprint, the moving at people for formation, The our is low points mobility and from near jobs to people our cetera. going favorable. And of are headline creates being created versus The created. these markets stimulants markets, been being all go all job we're of economy very So are just are that these household looking and have et historically. rate are unemployment more growth, to where high-growth the

the outlook, macro that fundamentals very things that enjoyed is considered. will all for placed feel we on last the future in the confident continue the couple years of just So near-term we've

Ronald Kamdem

be question, leverage. last would may, on if my Great, I just

it. just to you've can investment-grade to type you’re about through, us that you thinking Obviously, talked how about get sheet. balance walk if Just wanting

reducing is want leverage levels Just guys getting understanding, – the you to how over there think are and thinking about be? a you it by each we where maybe should year? turn to about Like

Ernest Freedman

Thanks is question. the This for Ernie. Sure.

First we've even do and sometime future. operations, but that committed in the using we sheet bit and great a we sector the that announced little this sheet leverage will of flow the safe single-family progress expected cash balance we to guidance. from by balance flow this that growth use payout that's what dividend the tailwinds ratio, year, dividend to and increased it FFO have do we a growth ratings in NOI on garner And earlier the of down. path course, low today, to investment-grade help cash foremost, our best-in-class and with And a we're excess out very to want provide for having bring got

flow, bring other numbers growth we of be to to ways next the would that that our able expect of the as our well accelerate for cash down find leverage consideration. certainly through further, debt-to-EBITDA time. turn And year – a period line to to are bottom over there us about excess net opportunities So the as due if give a we'll

Ronald Kamdem

Great. Congrats from great on a quarter. me. That’s all

Charles Young

you, Ron. Thank

Frederick Tuomi

Thank you.

Operator

next The of Bank Sanabria America of go Please Juan from is ahead. question Lynch. Merrill

Juan Sanabria

thanks time. the for Hi,

And we should guys service, to a bit little the or lower rating for Just two in have benchmarks Waypoint specifically planned be the talk customer a hoping you than Starwood And how initiatives do portfolios? that INVH. of customer you process, that could integration about kind on make what gap up hope for. more between out key looking the of outlined and had timing you

Frederick Tuomi

Fred. take the I’ll of for part is This it. the thank Well, question. first you

for. is smoothly mentioned to plan. As which our prepared very We feel the very that waiting the in we've we with confident integration going been execution into place. remarks, we according we're the all and And deep have now plan phase, in

attack when mentioned to properly. but we merger, we we announced have this have have it the first a As resources we experience, the large very the undertaking, we the team, is

and planning of and about initially enabling more And line work, just setup the out the was So work field XXXX. the deployment November XX be months full XX, will several that enabling which a and close, then merger we few the time operation. for into months months laid months being the first and after testing few

accelerate to anxious But schedule. times it. speed or really So that do once. up. three measure to able measure on thing on this maybe and be to we're to twice Basically, hope we're we're right cut want We not to track We right. going to going be it

companies productive that They're great So almost opportunity before. others. aspects, in large, pretty we – of had identical in this very a is were some features unique some very to as similarities, mentioned stabilized, well had a two successful lot but blend

we're So the two of XX,XXX innovations, footprint, we to which forward, we're platform companies. a We're new before. new haven't given going had blending the with best there. not ways then, homes the looking stopping for very dense create market But best new also inventions,

some we the put along future just and done ultimate inventing but we together. two the growth future two want the versus platform could way have faster putting we're for So together, new the it to We concepts if functionality. build

it's have going us to little exactly plan we're from take out laid a But right still we therefore, that bit longer. beginning. the So on again,

report we – So most impact the indicated Ernie synergies will in of the to as each the fully XXXX. more his of of NOI early G&A talk versus mentioned that later and are and to on that loyalty quarter, going this resident with earn-in service And customer and come part I'll let in initiatives. about Charles year early our be realized the remarks,

Charles Young

Fred. great. Yes, Thanks

have and we firms terms process, take were we're see organizations, both utilizing another really two terms to of customer best service the great technology people. continue to both these in to in And continued Both melding and we experience, have as So to as ensure resident high-quality of professional this service. of scores. surveys opportunity firms high

vision continue all Invitation resident that resident-centric The a committed know, However, to new as vision our the to journey, leadership to a is will is us a scale living and and we team build we Homes experience, to continuously quicker. allow are as to enhance culture. get customer service

home markets – what's more care in in field, local of Home hundreds and residents. important more who our the to We're homes. We thousands teams, Proactive We're service self-performance level approach. the lean in even We're have to of service great many that high-quality Smart teams, now we and ProCare can providing on with heavily have technology. pride expanded the in-house options And the maintenance going and the our comments, the the maintenance options. provide increasing for in out in is families our choice. the team our utilize housing mentioned I And we of provide associates ability most and my take

we best about get platform, build. all and and survey want the as building customer talked just culture that see Fred better So iterate take to opportunity the service of at great to and and we get continue a better just our and we to better

Frederick Tuomi

I add that X XX.X% was rate scale. customer rating their is and And favorably, our are surveys average have actual direct And maintenance a of to of thousands companies X.X. in those identical two on a teams completed or a upon X now providing our a these surveys before X of X, our this the services Yes, in is Fred. as thousands just X request. from most experiences Ron, of And between that which living with combined, to literally result our us homes. would we of residents respondents and is

in with customers the on our our real field are So real interactions things well. getting the ground, going real people extraordinarily

and have good it a fix, So to does a and job committed only going will to now, take doing better. great not but experience, we're we're anybody that get seriously we're

Juan Sanabria

for a the any benefit And at? that's Where optimization, revenue is would the benefit Invitation that on set a that that your portfolio. in over guidance be out are for is business, guidance? at that you? in XXXX where above there accruing was just focus side And your – Homes is and of Or lease

Dallas Tanner

is Yes. Dallas. Juan, this

companies good one. with starting we're In terms really that systems management in revenue the had from of place systems, day both

good to you're tweaking of As currently more pretty into where really optimize But INVH XXXX we've we've in better and lease done counts. curve. little us is of work just of and a sub-market on some shape terms we're ways create finding synergies how little expirations but And going aware, across do the the last regard. year expiration bit to a expiration at Expect a side, the going that in in occur. it's the to got of better do, to level, bit terms behave tweaking in those in portfolio terms

Juan Sanabria

the one guys business homeownership create filtering up Any to expenses that's quick we’ve that homebuyers. some and particularly of pop me your seen through there on last as any for of signs churn? And Okay. result Have for higher may the stats churn. first a the seen you pickup,

Ernest Freedman

where Not any for the actually, the top that purchases so from it that. year. on from today. about a to last reason move-out, enough home the are call consistent not Juan, was down at it's I'd XX%, basis, reason. year-over-year seeing Turnovers been it's remains year-over-year we're for not But a portfolio we seeing held negative it say trend. steady But consequences have

Juan Sanabria

Thank you.

Operator

next is Joseph Nick from The question of go Citi. Please ahead.

Nicholas Joseph

It's that earn and XXXX take tax the some $X.XX, expected spoke Thanks. the that fourth only the FFO, savings I of from from and of impact that, earlier. accruals interest involved but to partial core the and in kind the to you it XXXX deal. there's recognize I result But seasonality includes expense bridge the missing if are through quarter XXXX. some in about appreciate synergies SFR you

get basis. to an on $X.XX You annualized

to of the of just guidance So in understand what's kind fourth run and trying rate. assumed kind beyond above quarter

Ernest Freedman

Sure.

of multiplied you out by why take kind the laid $X.XX you four. Nick, reasons can’t So the

Florida real at Invitation jurisdictions that taxes we $X.XX $X.XX. the those fourth conservative had in because on would had we hindsight, tax Both out in was some good December. overly day, to portfolio and the quarter, Specifically in Georgia. Homes November to expectations those their estate in as thought added we end for the And And over-accrued the the send guys of we real of come where until estate out. and bills don't were that

would actually weren't So $X.XX if fourth for quarter be in the it $X.XX that.

second turnover fourth reasons. in quarters; lowest always quarter two take quarter to our is quarter it's season. us two, for quarter because HVAC higher. one season for $X.XXX third the and for margin out the drives to HVAC turnover $X.XX One, not of You margins also highest another those the and it's have

really that, at that, $X.XXX. on that that $X.XX, range. a you multiply there. things you out, $X.XX, And out the we the take to to So is run kind that $X.XX you're $X.XX, $X.XX for trying purposes, then a fourth rate to our number bridge were another annualize like quarter gets for for to if And $X.XXX closer to see that have you gets

things So fourth a always quarter be happened have quarters in perspective. to one a seasonally quarter of couple from and our the fourth margin is of strongest the favorable going

Nicholas Joseph

the what would you practices, guidance? you from be? best Thanks. in the And I assumed that. expect are upside there mentioned additional And timing appreciate then any to

Ernest Freedman

Yes.

we're starting the to I And not around give procurement. to things think would guidance. assumed the regard with are to one practices, in some best thought – things be the that a example good

some goods can We and our are spending services. cost of we to our vendors if and regional national with lot see a working vendors obtain lower to of time

that in synergies. like mentioned, And the are really little if half and half year year can baked the about, news procurement, renegotiated. good of half around earn we is get personnel second The synergies second Fred about those so talked earlier talking things the we're those the we've NOI and the with bit of the contracts into we towards of a second

there's news point. change we're we provide we optimistic through as in progress this earlier. and in to we're have upside on – a hopeful some But a further report maybe But the So that that of front. little upside provided it's us than upside like for year, thoughts at provide year and our comes some the any little bit to early we what bit we that we'll good

Nicholas Joseph

the X% know that the differences the Homes for Invitation finally, just for to XXXX. SFR And for portfolio? legacy X%. same-store you any it will legacy be revenue Thanks. between portfolios expecting versus combined I Are

Ernest Freedman

concentration of they're the markets to we be as of No, U.S. and Western Nick, one right portfolio, XX% each the on top we're in. Florida, want really running and other. in homes, them the great

that so would very way it fair expectations. it's say, similar that And that there think trying be I because the overlap well, our prepared are is portfolio how haven't, nor But way. is we the much as Nick, to looking it to report budgets legacy we is, as to assume

Nicholas Joseph

Thanks.

Ernest Freedman

You got it.

Operator

David of Please question FBR. go The is B. from ahead. next Riley Corak

David Corak

guys. what FFO in can anything changed on Ernie, is strategy Dallas, past of world you're Maybe growth external go-forward in morning, has what little guidance? you general. If you kind few the can in in built bit if the of then, a your the market. Good months. about kind talk Hey. sort the into comment seeing of And

Ernest Freedman

Yes. the Dallas for part second. and of I'll I'm it happy to to first address over the that, turn

gets more thinking we're what it to kind that back of worth a billion you about and to could million $X.X to maybe external buy billion of of terms sales a of basis see homes, will capital us for $X.X few be a on allocation broadly, year a worth And few same you for net a of million we dollars few – hundred us. hundred In neutral growth, million hundred probably number. kind including net think

But up. on can that, to we to perspective. pops basis, a could either came tool activity the we going be the the this our up, will opportunity we proceeds we're think year. pivot where self-fund team accretion And And each of those culling like and AFFO. cancel this that's little that. delever net can very We XXXX, activity two you But opportunistic, out using They comes organizations every from see did a do of the and out – know us from So opportunity very assets allocation where be and in together. impact quieter Dallas have will right when start year, other the more if and by some that that selling at that you FFO better the and an tools capital all kit to has kind to portfolio selling of or assets. weaker to look buy

Dallas Tanner

just but of the are in in trying with not the Yes, from question. really are for strategy Ernie Generally going still a of buy that thanks, understand most lot market David the We're companies, still forward. the terms a agree there I out is I call only, that to single-family activity on laid lot of people it, tight. end there think users space seeing homes. rental everything out is, call

in entry speaking, outperformance sub-markets of barrier of markets emphasis of to one So to generally parts if higher be terms in look continues going and and see we’re in us the that growth. markets area for you we're to

earlier the still past terms X% the as of growth, And bit bullish markets Charles as we've to in is north rent that so like laid XX% we call pretty X% so little in We're a we’re and look price of you tight. Seattle, out our of fundamentals in, the many seen appreciation in recognize but we're that of it at the markets year. seeing sub-markets, home

of we market is have we markets ground we're here to we have the opportunity people very healthy, very tight, on teams, that fashion. – in. to fortunately, like local unique the speaking, of So and so look opportunities and But management get fundamentals in the the kind we the at a asset do generally there our investment in and and we're

David Corak

a Are in there XXXX versa? of vice would or are that that see to the kind any you underperformers improvement now portfolio expect drastic markets in

Dallas Tanner

growth away. Yes, growth see price of look, the we our little speaking, Midwest haven’t home to more lot market out Generally I a you love push that the we’d of rent want or the bit concentration. to mean appreciation see seen a

better are occupancy. and We seeing gains Charles there. are And team his doing terrific in a job

and Asheville of about the of they're markets are feel merger, excited we came like coming very the that because years. markets think some in Denver, high-growth like markets I profile Dallas for the all

things, so the find expand grow could point, once some to and through maybe portfolios. we at get ways those integration, us And of you to some those expect

David Corak

NOI enough. one and for XXXX. won't the Fair and back going timing the synergies just to of until the quick the that kind last to of extent, weighted, me fact the And hit back-end some

versus looks us Just of that to would a of pieces into versus what an but of certainly, XXXX? in XXXX see actual back expect in range you the dollar we get a OpEx there, can some benefit could give NOI amount to of you XXXX trying XXXX? moving sense given mean, like kind just I

Ernest Freedman

going $XX of given on hit, come roll to third guidance the overall million to really, about we life really David, very as hit, we an Yes, and that basis our we've to be from million over XXXX. sure, those And about actual to is little these are $XX synergies expect going in. in that of NOI,

to the that So is basis rate the that's majority a million, gave, run of XXXX. million, and hit roughly the about on of you $XX going $XX that in a I third take midpoint

the portfolio, our of NOI $XX say next to on for size math. year. bps guidance, So I'd the million of million growth providing that's same-store that Without $XX that's about XXX

David Corak

lot. guys. thanks All Thanks a right,

Operator

Jade Rahmani Please question of next from The ahead. KBW. go is

Jade Rahmani

$X.XX Thanks. anticipate negative you full-year AFFO? same-store XXXX in to decrement you and CapEx comment it's Can looks property for a per like it what on

Ernest Freedman

for our two think We CapEx run Sure. slightly at levels. the portfolios different

get them. we We combine blend, to think Jade. we'll As a

consistent to the it to for $X,XXX kind to will the think going and going So in the per of of I run in cost probably guess, to to home range two they is be $X,XXX they to would – We maintain CapEx. mid-Xs kind have $X,XXX total type portfolios where with range.

So where that's be. will think that's and cost we CapEx to maintain,

Jade Rahmani

perspective, data what maintaining broader staffing the of capacity managing juggling I portfolio? collection view really do to of a from centralization point or enterprise a organization just guess, it a in or do see main and have from And challenges in to challenges centralization, larger side, it larger, of is the and portfolio the Is much as of of across with scale? terms management the terms this how adequacy local

Frederick Tuomi

our great think time, markets, terms undefined. we've the from things with now the when is in rental I maintain we of long-term platform mother and That's enjoying space. lot maintain X,XXX operate more. And no to been gosh, this the innovating early this sustainable the of accuracy of how really reporting in gives and all first thanks running our lot across was balance market Well, the But But Fred. continually it. we homes X,XXX want for created back didn't XX% and question. platform benefits but almost it leg business, of that’s do A and average big you is of was day timely the it. now opportunity, consistency, tremendous what And portfolio necessity right always of markets of the that five a multiple when with now. a invented in running markets and the be over making with We merger in Yes, And you're invention, concentration it map. us we'll it. what business, you XX% this up. And a balance for it designed we're a per and necessity started have But We or a – our XX,XXX road single-family achieve large-scale this that it's a there better. business. large-scale, that's designed then. is struck large and I was wrestle ago up having exist There having ground every years of

we're a continue it, So which that great refine to us opportunity doing. gives to

people center In increasing the practices companies. centralized we cases, through this decentralized, is identifying of the administrative in And consistency to acquisition and field versus of and most in defining centralized dedicated customer being best the amount attraction, the from life And customer are kind interaction, of support of onboarding a we're our two solely continue and the the cycle, merger the and ongoing of between control most centralized, methodologies terms then that basis. service.

on not the focus being to So central service customer administrative they're in bothered people the with office. and be by work that's done have

Charles Young

scale look efficiency of I would I the the the at power we're Jade, benefit question I just And to able create. add, that and think and the that your it really, as

convenience higher windshield homes from minimizing homes get larger levels of to benefit efficiency time, comes be our being can service ground able that specifically, great As practices Fred to we experience centrally But that the locally, and residents and and the overlap is standardize. for self-perform and use to at the we customers teams get the But our best our the to mentioned, residents. scale. to have able the you give create where to our the on and

right as ground. high-touch centralization to well we're on the our between as So giving that find balance trying and standardization experience

Jade Rahmani

of work And orders, maintenance internal targeting what with perform in lastly are personnel? terms you just percentage to

Charles Young

was. from of we Waypoint the we that technology, around portfolio the then, we range after with be think that's Invitation range. we'll push that's go the Starwood with And portfolio, an was we'll of XX% But we the end higher and to self-performance see and to using before, combined optimization Homes to in Yes, XX% settle where increase hope where in. where

as this overall. benefit see we a So being

Jade Rahmani

questions. the taking for Thanks

Frederick Tuomi

Thanks Jade.

Operator

McGill go ahead. question Associates. from next Zelman The of Please is & Dennis

Dennis McGill

revenue question Hi, guys. the guidance, X%. Ernie, other and you down rent, around would the then first the break to income? on you, How occupancy thank X% that expectations between

Ernest Freedman

XXXX Yes, similar what to the think, going somewhat sort achievement to saw Xs be, sure. new renewal you we're going on portfolio regards be in on it we rate leases, in the It's and similar blended basis. of do a for expect what with to for And I to was rental there. low which to

utility past We when where income you in see both that's being guidance our expect portfolios. maybe start kind of across a occupancy. And slow take a how midpoint slight uptick it's in noise out that's out down reimbursement then get the our to you'll – other from the of growth X.X% you rolled range. been to from the And of midpoint about program in

Dennis McGill

I Atlanta be across Okay. be pretty would pricing two those in side. and driver performance difference portfolios, fourth When the to them aligned. the what the Two, two the is What that Charlotte, that the look were SFR I there? seem the the or at driver was so markets quarter most portfolios of of power stronger guess, in on well in

Charles Young

But the some of of it the is they're kind today, portfolios, Atlanta, both pricing Yes, really level. So between performing well.

of XX% more that where on periods forward. happens and some add them in get or portfolio But The in us or little look position you be at it seasonality great side think quarter puts we the of we that Charlotte where today, SFR bit I down. will portfolio, a we trying up going challenge had combine together, it's purchased combined homes, we're of you X,XXX were right homes to XX% we very and portfolios occupancy on in digesting two the of our and or When and grow, market the portfolio. over were around north that. half now the strong put as scale a that XXXX, market

said, had I both off strong February now. of So have are great and been as starts, a little and slower both a although to looking them, they really January markets of bit QX,

Dennis McGill

just or then Okay. pricing, did Atlanta levels? mean you when said price different in price in And the you points Atlanta,

Charles Young

Yes.

portfolio together, quickly take there. together, When put best. can now working the a you combined the are to really and try on price Dallas So how you points as different that it we and of best optimize demands portfolio, focus and there keep certain and such his get with put you team in to on large the

Dennis McGill

be expense the it. plus guidance, X% talk may about as Ernie, buckets what's Got can minus, just range. the or on big X% far you that as Okay. to

Ernest Freedman

sure. Yes,

the buckets on X% two everything the Starwood to really, taxes, real expect merger those without and that XX actually we estate expect Waypoint. real we over impact total So taxes taxes Prop the homes year-over-year. do real are XX have the to of about up go estate in Because With up else. from go Prop came estate in adjustment, the X.X% we

estate by Prop So XX our adds itself bps tax real XXX expectations. to

X% So those down. operating expenses, expenses. that expenses. get And With the for X.X%. you to it’s they're basically downs. XX, Prop of X% All to flat base or blend based some you how slightly going Dennis, and case, on proportion to there's the a other on the But together be ups That's it's range X%.

Dennis McGill

Well the back out? Prop XX will adjustment that or be same-store considered you

Frederick Tuomi

we economic we'll Prop – those in same-store, keep of it to XX reporting because will incorporate definition the the a in And yes. changed numbers. same-store be real we'll It's item. those So be homes,

So that overall is contemplated our guidance. in

Dennis McGill

the as to of and taken just and on sit last all repairs Where were update us we homes far Okay. generate those do damaged able the And revenue out and in can that then vacancy hurricanes an as pool? again? the question, being with give you

Frederick Tuomi

Yes.

that. – in homes complete of larger that with Most working portfolio, The about portfolios are about through a of are overall this and were obviously high-damage those coming SWAY to There on flooding quarter. Houston. of of XXX back XXX more the So were work those. number online XX% a in homes terms SFR portfolio, in both had orders,

dry need worked we it. And in while those those of It But them through on. absorb let We Houston because occupancy, with homes And they out a back to speak. so good and is them were damage. repairs. water we've to homes. but maintaining generally, Houston up leasing had the those we're we as larger bring took then

QX that, in gotten occupancy I mentioned, But as Some the races much up show talked we and that have rather about to here as of in up off in by, are pretty the the started a QX, as cost as finalize. little of has impact, we'll in we've we get QX it bit QX. of and to we showing well

Dennis McGill

taken or of leased of be use quarter? that all here were homes out by you as would the look either forward, those end leasable the So of

Frederick Tuomi

of Yes. back we But where the service. timing of they're the by That in are rented back back. back this and and get – this will Houston on end them the week. quarter homes are quarter leased line coming will be put either each hopefully And most Specific we'll most or Whether hundred quarter, numbers see be the in next. when of we have them. we fully based

Ernest Freedman

and that reminder, between leased. Dennis, until gap bridge that while we as us they're empty to they're a have business cover for interruption insurance help

Dennis McGill

guys. Thanks Great. Okay.

Operator

question The from is Haendel St. next

go ahead. Please Mizuho. of Juste

Haendel St. Juste

guess, quick balance here. process sheet, of of might your earlier right? But or I so. LIBOR some your is be year-over-year Ernie, evolving morning, here color XX on curious Good rising rates, appreciate of thinking. first, the basis in I Couple thought on Hey. guess. ones how for I you, light up the points

floating got is low You've upcoming XX% maturities. debt rates. with of your

some into burning got or XXXX are You've hedges that XXXX. off going

to a the process you’ve in of be more are is more perhaps – think that where reduction that be in reduction back, you earnings starting low, that EBITDA the of So wind year aggressive beyond outsized inclined versus Or debt refinancing, your still is rates the are I’m your deleveraging? growth you sector? XXXX, the at driven the you'll aggressive this is I the is, outlined, my organic terms question thinking guess bit while

Ernest Freedman

Sure, Haendel.

quick up said it we many, we of all to sense we opportunistic middle high note maturities the be was other spend for of are maturities say, going have to could us a due year. about care You this a XXXX, opportunistic. we coming minutes those. one, But comes make And taken in in convertible at this. level, I’d talking than with many our But have that and would a next XXXX be

the it's We some during through the we've can done good past. rates, as And rates rates years, in markets makes through when and it not they've whether think doing in of take certainly, to historically where still of will consider last so in we have rate low course. been advantage as years, are it as they've open. are for And fixed we lock interest sense the year. many, low of couple or been gone to the We swaps, want many up. But rate financing certainly, relative

it the be markets very be side, we be term. the for the with on and will working in are sense Dallas think opportunistic acquisition just higher about his lock we here. allocation. and So And we'll like today's want to us, what team hit Olsen for close longer rates favorable Jon when rates continue I'll as to makes we'll capital at even

Haendel St. Juste

inclined you add overall about type in fixed proportion floating? more what versus And currently of you thinking terms are Are of fixed? more to

Ernest Freedman

or swaps do so through I In is but on through focus we focus that, fixed decide get overall, don’t do maintain economically how feasible. floating. But of much being versus whether about we get we XX% as on want than it's and more there rate better exposures the to there, we Yes. how I Haendel. floating, what's debt more our opportunistic fixed and much probably course financing what's no

it pivot sheet using terms pros is want that both closer investment-grade, decrease see are XX%, us feel in as we we it’s lock we could go to actually or today some balance but to there's So that. economics against XX% maybe But through comfortable and keep our that certainly today. flexibility. the that we we And cons whether one and where from will try optionality get XX% you of it’s rate we to to swaps, versus using to at in potentially weigh fix financing fix rates as be and

Haendel St. Juste

of insurance color But ones Got next then that expect year out recovery insurance understand you, of it, think of and when or what's be on reserve recovery year? this some and or I proceeds? I reported the the there. up million, those some And The couple the quick Is will do maybe $X.X to the there proceeds, in same Charles. quarter, you for going store? during get

Charles Young

this. take let to going Ernie I’m to

Ernest Freedman

Yes, Haendel, from that I'll handle will insurance work. how the more

do additional So it recent that turned fourth we're minor that whether the out homes, turned, didn't residents got there or was they during the is just our it had out homes storms increase work doing to not think damage as asset where the and we it. was damage from to management us, quarter as reported to more our

for we're homes, cushion we in in quarter. up didn't build As that accruals a cushion. the the hindsight, drove our third accrual building as we that identified when put we in enough But and

And so contingency much in not so you portfolio, across mainly there, little too, why built related we’ve Florida there. increase that’s the the increase to about saw the million Houston, but bit in some properties, $X.X a and

see for to one first up. as have we back bite the at apple need come next the So the of months wrap that here in to more quarter, we hope but we'll couple

In collecting it the end insurance insurance actually collect we’d terms XXXX. had proceeds of proceeds of the – likely earliest at

expect P&L casualty go we really I losses to this that Some any a the would longer. a below that, book impact whether any the little same-store of the we by not have up with line. losses perspective it actually we'll not an is And But end there's – from that it's cleared bit casualty most – any year. And things Haendel, regards should for even times book also these recoveries line. of below

recoveries you to recover. impact So actually we all damage deductible was amounts. was somewhat of to negative positive from below modest expect the nor because that see same-store won’t be what And almost done the we a

Haendel St. Juste

the color Appreciate it. Got guys. you. Thank

Operator

Please The Street next go John question Pawlowski ahead. is from Advisors. of Green

John Pawlowski

the did sell-off market Thanks. REIT and when and broader the with plan your discussion? plan balance fall How for Ernie, the the sheet to How since you price you XXXX. impact changed the just in the set capital or all? that I’m out down Fred sit share in at board curious allocation

Frederick Tuomi

question. the Yes. Hey, thanks John. for Yes,

dispositions mentioned of enhance point. our be forward portfolio going rate in price balance growth Ernie key capital we look growth long-term quality at We to But any the path this forward, of still allocation short-term. doing right and significant day on a see years. acquisition, sector, or still what And our a goals a going for and XXXX given ongoing revenue-enhancing several that's to our through from coming previously, might of Regardless CapEx. take that. share the are continue for the and we interest at see of market the As sector

is that to want capture the best growth. yourself way we So macro growth. on versus environments arm through uncertain that The to

to leverage. is reduce the Second

investment board than to already anyone to we're an have ground the give the a is then of been guidance continue like always, towards this better advantage opportunities continue far, take else. proper advantage strong and to path We've extremely we we balance sheet real come. They the to balance to and needed. And as large-scale our I thinking. the And board And powerful going gating think in flexible be in And day, forward board. when us significant big. our those have active have our take We grade. so to we'll to consolidator sheet They're fortify successful opportunistic. our opportunities they every of of estate to addition space people. mean, and we open and some firepower we're going comprised

the So board in lot meeting. board, But be here a and price recent with we'll terms upcoming a of factor, a recent share our is that talking about and phenomenon. it’s now, volatility

We have longer to look period at these of things over time.

type volatility make forward. look our board of take with those and but to share recent action very the options we’ll capital allocations at just we’re best at on available and So shareholders decision of for us price, look based all our the and not going to going

John Pawlowski

how try next state year, pricing know sense. to California apartment doing a REITs seems are Is are And make likely anything the measure. restrictions Invitation worried Make And Homes one? it rent November. of control to battle on the ahead the in voter's then to are this two, I Fred, power of the funds ballot lifted Hawkins repeal Costa about it, to very to you? raising if get

Frederick Tuomi

people new would think come and fairly which not to of it I’ve housing. to been in know, able for the issue been stable time Yes, the as estate this states the sure you the and, rent roadblocks it's states that that over frequently time. in of resist issue high-quality, the significant fundamental residents deliver rent real housing. type importantly, the have for housing. is move these be housing markets, that real but to to of cost the looking really only many does rental not of and impacts years fortunately, supply we've unfortunate most systems very for up But XX of the I'm those build legal issue the out controls, control, And business for of is supply for there, I And

are we find So our need and more the educate to we legislators the public to supply. on going to focus trying that efforts

to time types formation we housing, up affordable of deliver people lower cost housing and come to from that more looking as expand, But be in supply to for available more have continues these the household time. We market. need housing need things do all to at

in groups to put some good a seeking XXXX, mobilize solution that bill they're bill, and to failed a propose signatures a to was speak. there a across now in That to And know had that's and was preemptive as are gathering As place know, the Costa They initiative, law control, private legislation Hawkins for reason. And in repeal to assembly. advance prohibiting we it. California, there housing. in you ballot to the trying the not state, the rent foresight was that

Washington, pending. the one repeal that the the similar in died in And there's in preemptive State Something still committee. that law, although is of then one of Illinois,

to industry be and the if monitor So apartments, meaning yes, to to grow. all issue will and together joined the this the are working respond manufactured it. to continues watching single-family, real is it and monitoring students senior, estate rental together business, housing, situation The

John Pawlowski

you different? the thing around come Thanks. up? much Obviously, you’ve time that a in How time the short, times In this are has rental this housing versus several industry is more concerned this while. for last

Frederick Tuomi

Yes. varies. It

fervor on – in was think is much. more it to public just pretty loud the I little good voices to that, their a is – the I to a wasn't get that can Sometimes time, a people It the in more voices. seemed ideas, or Other it more bubble, probably dot.com times past, maybe similar little were enhanced. This ability are, there they what the and the with it the remember them no few was bit pretty with Internet, and and get imminent. now during bad, matter out

both So sides of an on there's of intense just effort issue. more marketing the

John Pawlowski

much. Thanks very

Operator

question is Horne ahead. next The Raymond from Buck go of James. Please

Buck Horne

Thanks. Good morning. Kind question. of a higher-level

of through some of accelerating than trying of X%, are better a Just think in places, markets to probably are here. that. now. rising And prices lot the right north fundamentals mortgage Home your in rates

some lowest the going sale on inventory into the spring levels probably with record. You're looking REIT historically at levels time of

you how equation? those you envelope this mean, the accelerating year of higher going pushing or implying about are I with do How pricing your about think than faster costs maybe XXXX. your you that terms rent and renewals ownership all are levels fiscal So in of think do guys that

Frederick Tuomi

easy. a are you they're and That's to But of what have on some just – of tailwind. issues not careful the favorable is us be pricing. – just that just start described but gives lot of stepping in you terms – Yes, It's can’t Long-term, the this you Fred. us. for gas correct, immediately the

supply, demand, occupancy, given in homes markets, price local et what's demand, going cetera. and a We appropriately demand future We pricing, our a unilaterally equilibrium to pricing of between achieve, balance each just expectations and balance. have It’s can’t it’s the et competitors, cetera. set expect to supply on sub-market,

in we the I job, of So best monitoring do that. the think, industry

We sophisticated have tools and platforms.

right We make things. product. And have the educated balance – we single our at the between our day office, central we people prices on the ground and as monitoring choose and rates these occupancy every

that up its So us? immediate. not continues all a lag price goes There's does of to housing whether the But follow, an or help time, grow. to to home that. of price over adjusts If it's housing appreciation price factor rental. It the ownership Sure.

So price. immediate trend versus to just generally, more a long-term it's an set ability a smooth

Buck Horne

one added are and line. the above line same-store Ernie, guess just some management NOI some the pool, property that still in costs Starwood there. just noticed, Maybe appreciate color items, I'm for I of Okay, the I the of through looking

management the when new the reorganized will So property presentation those for or guys fiscal either above of any below line? XXXX, get NOI you combine costs

Ernest Freedman

Homes Invitation Yes, to we've Buck, forward. done historically they will. present in We're as going going

So the see XXXX exactly we'll happen number. you'll that that reclass of

pulling like-to-like from be do same-store and have like noise won't together, we we're results pool that. any there that so differences then So

Buck Horne

Got helpful. you. it, Thank that’s

Frederick Tuomi

All Q&A right, thanks. of End

Operator

question-and-answer our concludes would like This for conference I Fred to the to Tuomi session. over turn closing remarks. back

Frederick Tuomi

interest joining we’ll Great. Yes, for us in to you. season everybody want year. many through today. see I We your the Thank thank you upcoming at progresses and Homes appreciate conference Invitation here of the that

Operator

has you now concluded. today’s presentation. for The Thank conference attending

disconnect. now may You

Invitation Homes (INVH) 23 Feb 182017 Q4 Earnings call transcript