You always have to be careful when you are involved with"hot money" as it can change on a dime.
From the article at NBC News:
It’s also turning out to be harder to lure back first-time home buyers, typically one of the strongest sources of demand in a recovery. After the historic, late-2000s price slide, many younger buyers are skeptical of the longstanding conventional wisdom that housing is a surefire long-term investment.
That’s meant that investors, lured by bargain prices, have become a much larger share of buyers than in past recoveries. But it remains to be seen how durable that “hot money” demand will be, said Pinto, the former Fannie Mae executive.
“In two or three years, they could all turn on a dime and decide this isn't the asset class they thought it was, and then they sell,” he said. “If that happens right at the time that interest rates happen to go up, then I think we're into a really tough situation.”
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Always Looking to Acquire Houses | Always Looking to Amaze Investors
You always have to be careful when you are involved with"hot money" as it can change on a dime.
From the article at NBC News:
It’s also turning out to be harder to lure back first-time home buyers, typically one of the strongest sources of demand in a recovery. After the historic, late-2000s price slide, many younger buyers are skeptical of the longstanding conventional wisdom that housing is a surefire long-term investment.
That’s meant that investors, lured by bargain prices, have become a much larger share of buyers than in past recoveries. But it remains to be seen how durable that “hot money” demand will be, said Pinto, the former Fannie Mae executive.
“In two or three years, they could all turn on a dime and decide this isn't the asset class they thought it was, and then they sell,” he said. “If that happens right at the time that interest rates happen to go up, then I think we're into a really tough situation.”
Always Looking to Acquire Houses | Always Looking to Amaze Investors