Last fall, the Federal Housing Finance Agency sought comments on how Fannie Mae, Freddie Mac, and the Fair Housing Administration can divest themselves of their massive inventory of real-estate-owned properties. Among the ideas gaining traction is selling homes for rental rather than owner-occupancy, as in the GSEs’ recently rolled out REO to rental pilot project. A big REO auction could give community groups a shot at developing much-needed affordable rental housing, but they will face stiff competition from for-profit investors. If nonprofits are able to pick up properties, they’ll have another major challenge: managing scattered-site rental. While many nonprofit organizations now manage multi-family buildings, having single-family homes spread over a wide area is much more difficult, logistically.