Real (Estate) Returns? Private Equity Bets on the Housing Recovery

A gathering housing rebound is giving firms the chance to cash out of housing-related companies they bought before the financial crisis. Beyond that, some are injecting new capital to take advantage of foreclosures, areas of limited housing supply and hotel demand with a spate of new funds raised in the past three years.

After the tumultuous years of the U.S. financial crisis and the stagnation that followed, U.S. consumers are buying and building homes again and the private equity industry has taken notice....