With continuous rising of home prices, more investors are flipping properties instead of renting them, a lucrative strategy when the housing market is doing well. This year, 28 percent of investors flipped property, up from 20 percent last year. Thus few investment properties were rented. More than 55% of investors intend to keep the property they purchased for less than six years and more owners manage their properties themselves.
More than 67% of investors paid cash for the properties and 86% of those who financed their purchases did it with a bank loan. The average down payment went down from 30 to 24 percent and realtors said that only a few clients had difficulty financing. More than eight out of 10 investors own other investment properties and the average number of properties owned increased from 6.5 in 2013 to 8.3 this year. Realtors reported that the majority of their investor-buyers found a property more quickly than in the last survey and one-third of investors are out of foreign countries. Rising home prices have also encouraged investors to spend more on purchasing, a good sign of better times in the housing market.
If you are interested in investing into the real estate market, contact us today at 678-207-1505 or info@TheREMG.com. Whether buying or selling, we have the experts to help you every step of the way.
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