We here analyze Fannie’s ground-breaking transaction to Blackstone’s Invitation Homes (IH) subsidiary, a REIT about to strike out on its own in the residential-rental business following yesterday’s landmark deal with the GSE.  Upon review of all of the transaction details so far made public, we think the IH transaction is a prelude to others at both GSEs designed to generate new securitization-fee streams as the single-family business revs down in the face of higher rates and continuing GSE underwriting discipline.

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