Realtor.com says many investors especially smaller ones, have recently “slammed the brakes” on their purchases as the housing market has shifted. They say in some parts of the country where investors competed directly with first-time and other buyers, investors have been beating a what they call a hasty retreat. With that in mind, Realtor.com dug into the data to figure out where investor home purchases have fallen the most.
“Established investors who have more capital reserves would be more likely to buy with cash,” Said Daren Blomquist, Vice President of Market Economics at Auction.com.
“With higher prices and mortgage rates, deals for investors have come with slimmer and slimmer margins…. ‘Until [prices]come down a little bit, [we’re] not going to see the investors jump back in strongly,'” Said Charles Tassell, COO National REIA.