'Boomerang Buyers' Return to the Market after their prior Distressed Sale

By
Real Estate Agent with RE/MAX Suburban
https://activerain.com/droplet/4JrN

boomerang buyersThe share of homes purchased by return buyers or “boomerang buyers", those who formerly were foreclosed on or did a short sale, increased significantly in recent years.  NAR Research estimates that 8% or nearly 350,000 home sales were from return buyers in 2014.  It’s important to note though, that the majority of these borrowers according to NAR Research were likely of prime quality before entering foreclosure and that they prefer safe, affordable financing for their return purchase.

According to NAR’s 2014 Profile of Home Buyers and Sellers, 41% of return buyers financed their home with FHA backing, while 30% used conventional financing like Fannie Mae or Freddie Mac and another 25% used VA.  The VA and FHA allow for shorter time-out periods when a buyer is not eligible for financing and for smaller down payments which likely accounts for their large share of return buyers. 

If you are one of these "boomerang buyers" and want to know if you can get into the market again for a new home, please feel free to give me a call. There are many options now available & more are opening up for buyers all the time.

Lenders are finally loosening up

 

boomerang buyers

See the full article here.

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lyn sims remax suburban  Lyn Sims    Schaumburg IL Area    Northwest Chicago Suburbs  ●  (847)230-7324
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Topic:
Home Buying
Location:
Illinois Cook County Schaumburg
Groups:
Active Rain Newbies
Realtors®
Advice for Buyers
Tags:
first time homebuyer
loan prequalification
boomerang buyers

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Rainer
16,261
Chip Morgan
Long Realty - Dove Mountain, Marana AZ - Tucson, AZ
LSS, LSE, LMS

They are beginning to hit the market hard!  I have 2 buyers that I am working with that are boomerang buyers.  One from a foreclosure and one from a short sale.  They are out there... ready to buy and ready to make some things happen!

Sep 22, 2015 04:20 AM #1
Rainmaker
1,523,605
Sybil Campbell
Long and Foster REALTORS® 5234 Monticello Ave Williamsburg, Virginia - Williamsburg, VA
REALTOR® ABR, SFR, SRES Williamsburg, Virginia

Lyn, thanks for sharing this, it is encouraging that the boomerang buyers are able to get back into the market.

Sep 22, 2015 04:23 AM #2
Ambassador
1,549,863
Karen Fiddler, Broker/Owner
Karen Parsons-Fiddler, Broker 949-510-2395 - Mission Viejo, CA
Orange County & Lake Arrowhead, CA (949)510-2395

I have seen a few stages of this. I had the sad opportunity to help with short sales of some of my old clients, but now they are back in the market and that's making me very happy. 

Sep 22, 2015 11:23 AM #3
Rainmaker
3,982,614
William Feela
WHISPERING PINES REALTY - North Branch, MN
Realtor, Whispering Pines Realty 651-674-5999 No.

About 1 in 4 are this type of buyer and about 1 in 2 have get their stuff together and will buy

Sep 22, 2015 01:41 PM #4
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Rainmaker
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Lyn Sims

Schaumburg IL Real Estate
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