Where Real Estate Investors Bought Most Homes in 2020

0
25

[ad_1]

Decade migration influence what housing markets investors are investing in has changed.

New report of the analytical company, CoreLogic, compared the metro with the highest investment activity in 2011 with the metro with the highest investment activity in 2020.

The results show that so far California dominated the rankings at the beginning of the last decade, it was nowhere to be found on the 2020 list.

In 2011, seven California metros made it to the top ten: Los Angeles, San Jose, San Diego, San Francisco, Sacramento, Oxnard, Stockton and Riverside.

“This reflects the nature of the market after the Great Recession. California has been hard hit, and as a result there have been many takeover and sale of real estate owned by financial institutions, ”the report explains.

The list also includes the Las Vegas subways in Nevada and the Corpus Christi and McAllen subways in Texas.

But in the 2020 top 10, Corpus Christi was the only metro to reappear. Per CoreLogicThe other nine subways on the list included Boise, Idaho; Kansas City, Missouri; Atlanta; Memphis, Tennessee; Salt Lake City; Wichita, Kansas; Provo, Utah; Phoenix; and Springfield, Missouri.

Credit: CoreLogic.

The sharp change in investor interest in 2020 was likely due to low prices and a growing number of potential homeowners looking to escape California’s high prices.

“Cities in the mountainous west, west midwest and south have led investment activity by 2020, and investment has grown in metropolitan areas such as Boise, Phoenix and Salt Lake City as they tend to have lower prices and growing a population fueled by emigration. in California, “the message says.

While investment activity in countries like the Midwest is growing, it is declining at the national level. Investor activity in the US has slowed since 2018, according to the report. In 2020, 15.5 percent of U.S. home purchases were made by investors, up from 16.3 percent in 2019 and 16.8 percent in 2018.

But despite the downturn, CoreLogic has found that investors maintain a strong presence in the housing market, and an increasing number of family investors are grabbing a piece of the pie. As the market continues to cool and prices fall from record highs, CoreLogic predicts that national investor activity could indeed pick up.

“At this critical juncture – the first year of a new decade and a steady move away from the pandemic – when the hot housing market cools down, we may see investor activity increase as they try to buy more properties at lower prices,” says Molly Boesel. , chief economist at CoreLogic, was quoted in a press release on the report.

Email to Libertine Brandt



[ad_2]

Source link