Cash Buyers Driving Market, Pushing Prices Down
A home-buying tracking service reports all-cash buyers moved into the market at a record pace last year, purchasing homes for themselves and other properties as investments.
The Campbell/Inside Mortgage Finance HousingPulse Tracking Survey found a record 33.2% of transactions were all-cash, up from 29.6% from a year earlier. Among investor homebuyers, the proportion of cash buyers was 74%.
The survey said cash buyers were driving down prices because they offered shorter and more reliable closings. HousingPulse also indicated many of the purchases were of distressed properties, where banks are more likely to negotiate settlements in an
effort to get them off their books.
Article brought to you by Old Republic, Real Estate Digest, April 2012, Vol 38
Do you see this as a trend in your business, let Title Junction know!
The Campbell/Inside Mortgage Finance HousingPulse Tracking Survey found a record 33.2% of transactions were all-cash, up from 29.6% from a year earlier. Among investor homebuyers, the proportion of cash buyers was 74%.
The survey said cash buyers were driving down prices because they offered shorter and more reliable closings. HousingPulse also indicated many of the purchases were of distressed properties, where banks are more likely to negotiate settlements in an
effort to get them off their books.
Article brought to you by Old Republic, Real Estate Digest, April 2012, Vol 38
Do you see this as a trend in your business, let Title Junction know!
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