Quote:
Originally Posted by zx10guy
That's what I mentioned in one of my replies above. I've heard of investors/institutional investors getting involved in this run up. I'd like to know how big of a percentage of homes being purchased are due to people that don't have any intention of living in them.
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From what I have been seeing, it is a lot. The potential 10yr return on buying a house, even overvalued, and renting it, is more than a 10yr bond. IMO it's not going to settle until the Fed stops propping up the market. They need to stop buying bonds and raise interest rates, until then, it's free money for Hedge funds and the like to continue to move wealth to real estate.