New Housing Bubble? Corporate Buyers Boosting Prices

bubbleDouble-digit home-price gains from San Francisco to Detroit to Miami have some aspiring home buyers racing back into the market.

But buyers, beware.

The housing market may not be as strong as you think.

Contact the appraisers at www.scappraisals.com for your home value questions.

Sure it’s tempting to want to lock in a low interest rate and take advantage of lower home prices before they rise further.

But it may make sense to take a breather before you buy a home and wait for prices to drop, as institutional investors might be inflating home prices.

Namely, Wall Street investors are scooping up homes in bulk, and there’s considerable concern this is inflating prices in certain areas of the country—and pricing individuals out of the market in general.

These institutional investors have been spending billions of dollars buying up single-family homes en masse. In 2012, institutional buyers purchased about 138,540 of both distressed and non-distressed homes in the U.S., or about 3% of all sales, according to RealtyTrac. It estimates institutional buyers purchased 32,355 homes in the U.S. in the first quarter of this year, or about

Read more at: http://online.wsj.com/article/SB10001424127887324299104578531132265680630.html?KEYWORDS=House+Sales

Disclaimer: for information and entertainment purposes

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