Lima One Capital is optimistic that the housing market will continue to rebound this year, in large part due to residential real estate investors.
In 2012, investors accounted for 29% of all housing purchases across the country. This trend is on the same path in 2013, with Miami, Phoenix and Atlanta the three largest investor-aided markets.
Additionally, a recent
Because of these facts, the Greenville, S.C.-based hard money lender believes that buyer confidence will increase in response to this quality inventory and home price gains.
“Low inventory is helping to increase home prices which will in-turn make market conditions more attractive for new sellers to list their properties,” said John Warren, founder and president of Lima One Capital. “The quality properties real estate investors are putting on the market are directly contributing to increased home prices.”
For 2013, the National Association of Realtors is projecting that existing home sales will rise 16% from a year ago, with approximately 5 million transactions. Meanwhile, the median price of a previously owned home rose 6.4% in 2012 and NAR expect prices will be up 8% by the end of this year.
“We are encouraged by the market trends we’ve seen so far this year thanks largely to the work of investors,” Warren added. “Hard money loans are more valuable than ever for those looking to capitalize on a seller’s market. The work of real estate investors in the housing market continues to pave the way for recovery.”
