Through the transaction the acquirer provides the owner of the property with a guaranteed sum over the term of the contract.
The acquirer then has the right to rent the property in question out on a retail basis, keeping all related revenues.
This transaction is popular with parties seeking to shift the risk and/or management burden associated with renting property.
One potential downside is that by selling the right to rent to a third party, the homeowner loses some control over how that property is managed during the term, though this can also be negotiated and agreed within the contract.
[citation needed] Wholesale rentals can be negotiated directly between homeowners and property managers.