Fed Chairman Ben Bernanke and other Fed officials have said that with home prices continuing to fall and rents rising, it makes sense for some foreclosed homes to be converted into rentals. Demand for rentals has grown since the housing meltdown. ------------------ I wonder how this works out.Will a tax write off on a failed rental be larger than the loss on a foreclosed home? Who pays the taxes on a home in foreclosure as opposed to who pays the taxes on a rental property. Local municpalties need revenue and it's not going to happen with homes in forclosure. I wonder what the value is of an empty rental vs a foreclosre.