Single-family rental behemoth Invitation Homes is seeking a joint venture partner to take advantage of the latest drop in home prices, according to a report by Bloomberg.

The company is working with commercial brokerage Eastdil Secured to find a partner for a $1 billion joint venture, according to Bloomberg’s sources.

The search for a partner is in the early stages and is not guaranteed to materialize, Bloomberg reported.  

The rental firm, which owns more than 85,000 homes and grew from the ashes of the Great Recession, decided to find outside capital due to the challenge of raising equity with a stock price that has declined 28% this year.

The single-family rental market boomed during the pandemic as households sought more space in the suburbs and investors capitalized on low interest rates. However, high home prices and interest rates this year have slowed purchases considerably.

Home prices are expected to fall in many housing markets over the next year.

In July, Invitation Homes CEO Dallas Tanner told investors that he was slowing purchases and exploring better deals. 

“We think there could be some even better buying opportunities,” Tanner said in July. “If we do see the market change in a way that’s favorable for us, we can take advantage of that.”

A Congressional report in July found that Invitation Homes lied to Fannie Mae about the company’s eviction rate during the pandemic. The company had received a $1 billion, interest-only loan in 2017. Invitation Homes called the subcommittee’s report a “fault-finding mission.”