Real estate investors are capitalizing on an easing of competition in the housing market. According to a new report from RealtyTrac released last week based on data from ATTOM, Q2 2021 saw a nearly four percent increase in investor purchases of homes in the U.S. compared to the prior quarter. In total, 15.4 percent of all home purchases nationwide were made by real estate investors.
“Historically, investors have always accounted for somewhere between 10 percent and 15 percent of residential home purchases, and our data shows that this is still the case today, albeit at the high end of that range,” said Rick Sharga, executive vice president of RealtyTrac. “Successful investors tend to look for below-market pricing in order to make a profit on their purchases.”
Most investors in Q2 made their purchases in all-cash transaction. Overall, 79 percent of investor property purchases were cash sales compared to 69 percent last year.
Meanwhile, those looking to purchase a home will find conforming no-point 30-year fixed mortgage rates are averaging 2.875 percent and 15-year rates near 2.25 percent.
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