Real Estate Investors are Now Officially the Good Guys
From Home Rentership Society – Realty Check with Diana Olick
All-cash investors are flooding the market, buying up distressed properties at deep discounts. [Secretary of Housing and Urban Development, Shaun] Donovan claims investors are no longer the pariah’s of the housing market; they are in fact the bulk of today’s buyers of distressed properties. At the height of the housing crash, President Obama made clear that the housing/mortgage bailout was not for investors, who bought properties with money they didn’t have, but only for owner-occupants (who also, by the way, bought properties with money they didn’t have).
The tides have turned.
“Clearly investors coming in to buy some of these homes is a key part of how these neighborhoods recover,” Donovan says. “We’re focused on, for example with REO [bank-owned] homes, investors to purchase them and get the financing they need to fix them up.”
Real Estate investors will play a key role in the eventual recovery of the real estate market. Any way you look at it, there’s a backlog of distressed properties that we’re going to deal with before we can return to a more normalized real estate market. Investors are waiting to purchase these properties, improve them and sell their end product to happy new homeowners paying full market value, which in turn will help their communities re-establish their value.
We’re excited to be a part of this recovery and we’d love to have you join us.
Explore East Bay Price Reductions w/ Trulia’s New Visualization Tool
If you’re an East Bay housing data geek like us, you’re going to want to check out the latest visualization from Trulia.
Through this data visualization, you can hover over a zip code and you’ll find: the days before the first reduction, the average percent reduction & the probability of a second reduction.
Although there seems to be a data black hole in Berkeley, I found myself spending some time exploring trends in the different areas. Give it a try and let me know what you think!
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