Beyond Homes is a vertically integrated single family rental investment firm focused on value-add strategies throughout the Southeast.

About:

- We buy single family homes, renovate them, flip some, hold the best ones as long-term rentals, and self-manage.

- We target a healthy mix of cash flows from flip profit, rental income, and long-term asset appreciation from our rental portfolio.

- We focus on high-growth markets in the Southeast, catering to the middle-market demographic.

- We are setup as an Evergreen fund, designed for generational ownership, tax efficiency, and long term compounding.

Vision & Mission

The future of America will increasingly become a renter nation. Home values have grown much faster than household income, creating a huge affordability gap for the middle class. Additionally, the recent spike in mortgage interest rates has made it significantly more expensive to own than rent.

The current housing market is undersupplied with move-in ready, safe, and appealing rental homes for this new wave of renters. We aim to fill that gap and become a leading institutional owner and operator of modern, well-designed and well-maintained single family rental homes in the Southeast.

Fund Details

  • Evergreen, single-family fund for investors seeking long-term growth

  • Existing US single-family homes, value-add and opportunistic. Southeastern focused.

  • Homes Acquired: 136

    Homes Sold: 32

    Current Inventory: 104

  • 60-70% LTV portfolio average

  • 3%-5% annually, distributed quarterly

  • 2.5x-3.0x multiple on invested capital (MOIC)

    13%-15% internal rate of return (IRR)

    *Assumes 10 year hold

Sources of Alpha:

Value Add Strategy

We buy at 10%+ discount due to distressed state of home. We then rehab at lower wholesale costs due to scale and operational efficiency. The after repair value is higher than our cost basis, creating forced appreciation on rentals and profit on flips.

Dynamic Allocation

We are buying 100s of homes over several years, not having to time one big acquisition perfectly (rentals & flips). This allows us to "dollar cost average" while reacting to market forces and learnings in real time, optimizing our strategy for what is working best.

In-House Management

We self-manage our rental portfolio. Interests are aligned, creating operational efficiency: lower vacancy, lower maintenance costs, better tenant screening, and faster feedback loop to our (1) Acquisitions & (2) Renovations teams.

Diversified Assets

Our rental portfolio assets are highly diversified. We own 100s of homes across multiple states, neighborhoods and streets. The spread out nature of our assets de-risks the potential of any one negative event greatly impacting overall returns.

Data Driven Approach

We use propriety data and analytics to find under-valued properties in the best neighborhoods. Our underwriting specialists have analyzed over 15,000 homes to get to the 125+ in our portfolio currently. Data is at the heart of everything we do.

2-Tier Approach

We have the platform, team, and local market knowledge to execute a fix & flip strategy - generating quick and strong ROI, while remaining patient on building our highly selective portfolio of rental homes. This blended strategy gives us maximum flexibility.

Selecting Markets with Strong Fundamentals

  • (1) Strong economic growth. Markets with growing per Capita GDP. This is an leading indicator for job growth, which will drive population growth.

    (2) Relatively affordable. Markets with a relative low cost of living compared to the national average. This includes housing affordability, everyday expenses, healthcare costs, and overall standard of living. Paired with job growth, this will attract employees from out of state to move.

    (3) Diverse and stable economy. Markets with high percentage of jobs in healthcare, education, and government - not reliant on cyclical industries such as tourism or retail. This will allow for stable economic growth throughout many cycles.

  • (1) Population growth. Markets with high migration % of total population. This is a relative indication of how many people are moving to an area. Population growth will create more demand for housing.

    (2) Income growth. Markets with strong household income growth. High income growth (strong purchasing power) is generally a positive for homes values and rental price growth.

    (3) Educated workforce. Markets with a growing educated (Bachelor's) workforce. Historically, this has lead to an increase is productively and higher wages, which is positive for the housing market.

  • (1) Limited supply of housing. Markets with under supply of housing, allowing for resiliency during economic downturns.

    (2) Moderate new housing development. Markets with some (sign of demand) new development, but not so much that there is a risk of oversupply. All of our markets have <1% ratio of new building permits to total housing supply.

    (3) Rent growth. Markets with historically strong rent growth, despite new supply hitting the market.

Current Markets

  • Chattanooga, TN

  • Knoxville, TN

  • Little Rock, AR

  • Birmingham, AL

Check out current portfolio

Future Markets

  • Nashville, TN

  • Raleigh, NC

  • Austin, TX

  • Greenville, SC

Target Buy Box

  • Home Values: $225k-$325k (below replacement cost)

    Rents: $1,600 - $2,400 (HHI $65,000+)

  • Renters quickly outgrow too small of houses. And too large of houses attract larger groups of roommates

  • 1 Bath houses provide no flexibility, and typically only attract single tenants or couples with no children

  • Newer homes have more desirable and efficient layouts, and require less maintenance and capex

  • Families who move into a rental for the school system, typically stay for several years

Innovative

Property Management

We believe that owning and managing our homes internally allows us to optimize and innovate more efficiently - delivering superior value to our residents and investors.

We also believe that technology and taking a data-driven approach will lead to superior returns in the long run

Why SFR?

Over the next decade we believe SFR offers one of the best risk adjusted returns in the real estate sector.

  • There are 82 million single family homes in the U.S.

    The SFR market (investor owned homes for rent) comprises of 16+ million homes. Of that, only ~3% are “institutionally” owned (own more than 100 homes).

    The majority of SFRs are owned by mom and pop investors who lack scale and operational leverage. In comparison, multifamily is ~50% institutionalized.

    Note: Private fund market share estimated based on industry knowledge and press releases

  • The gap between single-family home constructions and household formations grew to 2+ million homes between 2012 and 2024

    80% of mortgages have interest rates below 5%, making it costly for current owners to move.

    There are ~13+ million "ugly" homes that are unsafe or not move-in ready. These homes will need to be updated in order to meet the demand for housing

    Source: John Burns Research, Realtor.com, Zillow.com

  • 72 million "millennials" (age 25-40) are entering peak family formation years. This is largest generation since the baby boomers.

    Immigration into the US surged in 2022-2023. More than 2x+ previous years.

    This trend is going to create a massive wave of demand across the SFR market

  • Huge affordability gap for middle class - housing prices in the US have grown much faster than household income (118% vs. 15%) - turning what would be buyers into renters for longer.

    Due to the recent spike in interest rates, the cost of buying is much more expensive than renting. The monthly mortgage payment for a typical single family starter homes exceeds the monthly rent by $1,006 per month

    Source: U.S Census Bureau, John Burns Research

Benefits of Single Family Rental Investing

  • Annual cash flows yielding 5%-10% rival fixed-income. But unlike fixed income, you also benefit from 5%+ annual equity appreciation

  • Depreciation and interest deduction rules allow for cash flow with no tax obligation for many years. Additionally, distributions from re-financings are NOT taxable

  • Rents adjusted annually, meaning cash flow and property values adjust with inflation over the long run

    Replacement cost of homes grows at least with inflation because material and labor cost to build rise with inflation

  • Private markets have historically outperformed stocks in every downturn of past 15 years. Additionally - SFRs and the stock market are almost perfectly uncorrelated, with a correlation coefficient of only 0.07*

    Source: Yield Street

General Partner

  • Founder & General Partner

    University of Pennsylvania, Wharton MBA

    University of Pennsylvania, BS Economics, Real Estate concentration

    Oaktree Capital Management, Associate

    UBS Investment Bank, Analyst

    https://www.linkedin.com/in/bryanlalezarian/

Get In Touch

If you are interested in learning more, submit a form and we will be in touch.