One of the new trend in real estate today is that cash buyers are controlling the 250k and below market. I expect this trend will continue until the foreclosure bobble subsides or cash buyers exhaust there will to buy. These cash buyers are buying all the homes in this price range, and there are no signs of slowing down. Once the homes are acquired they then flip them into a fifty thousand dollars or greater net profit.
If this trend continues the prices of homes will rise in that segment of the market (250K and below). It also means that in the short run qualified FHA, VA, and Convention buyers are forced out of the market.
What is the solution? Is there a solution in the short run?
No comments:
Post a Comment