We did look at this. You may recall, we spent two years evaluating it. We did that a couple of years ago. And just reiterating comments from when we did that test and we concluded that this is a low to – very low margin business with a lot of distractions for our program. We decided that it’s not – the incremental revenue was not beneficial in relationship to the distraction to our operations. So we see more opportunities in our development program and our core business, and that’s what we’re focused on. And so I hope that answers that.
Operator: Our next question comes from Anthony Powell with Barclays. Please proceed with your question.
Anthony Powell: Hi. Good morning. I guess a question on home prices in certain markets like Tampa, Florida or whatnot. We’re seeing, I guess, reports at home values falling with making housing maybe more affordable in those markets. Are you seeing any changes in your move-outs to home ownership by market as kind of this trend well?
Bryan Smith: Yes. Thank you, Anthony. We track move-out reasons very closely. And Q1 represented our lowest proportion move out to buy that we’ve seen. It’s about 27%. For context, from a historic perspective, it was in the mid-30s. It does vary region to region. But we didn’t see any regions that had anything that would have surprised you. We have a lower percentage moving out in some of the areas like Las Vegas and Seattle, where there’s just a huge gap between the cost of ownership and the cost of renting comparable home. Nothing of note in Tampa lately. We have seen in a couple of markets, Dave mentioned earlier, some prices coming down, but it hasn’t been anything dramatic worthy of note.
Anthony Powell: Thanks. And maybe one broad one. I mean just touched on this earlier, but there’s been more media around – this institutional private equity or hedge fund or institute alter of homes. As a leader in the industry, how do you kind of responded to this? How are you talking to your commerce people? How are you lobbying? How are you responding to kind of the overall media? Attention on being paid to, I guess, your business now?
David Singelyn: Anthony, it’s Dave. You’re right. There’s been a lot of press around a number of bills, predominantly three bills, the ones that you mentioned, Stop Predatory Investing Act. And in hedge fund control. And there’s the American Neighborhoods Act. It’s interesting. All of these are have been introduced by individuals that are up for reelection. I look at them as campaign bills or messaging bills. These bills have not even – they don’t – they haven’t received boats even in committee. They’re not moving through the committee. And I don’t see any movement on these bills, considering that this is an election year. In Congress at the federal level, really needs to address some must pass legislation around funding bills, et cetera.
Contrast that to what actually has been accomplished, and that’s at the state level. And there’s been some successful legislation passed over the last three to six months. promoting housing, their pro housing bills, both from an operational standpoint, like dealing with squatters also with respect to growth dealing with zoning and those type of items, to construction to address the housing availability. And this isn’t just one bill out there. This is many, many bills in many states. I’m just looking for the list of states, but it’s about six or eight states, Georgia, Florida, Washington and others that have passed very pro housing bills in the last six to – six or so months. And so we see the fact that the states recognize that there is a housing shortage, and that housing shortage is creating affordability issues, and it’s trying to be addressed.
But it’s being addressed at the state level, which is where it should be addressed.
Operator: We have reached the end of the question-and-answer session. I’d now like to turn the call back over to management for closing comments.
David Singelyn: Thank you, operator, and thank you to all of you for attending today’s call. We’re grateful for your participation and interest in AMH. I look forward to seeing many of you at NAREIT in June. Thank you for your time today. Goodbye.
Operator: This concludes today’s conference. You may disconnect your lines at this time, and we thank you for your participation.
