{"id":226439,"date":"2022-03-31T10:07:43","date_gmt":"2022-03-31T14:07:43","guid":{"rendered":"https:\/\/qa.bluevaultpartners.com\/?post_type=news&p=226439"},"modified":"2022-03-31T10:07:43","modified_gmt":"2022-03-31T14:07:43","slug":"everybody-wants-a-piece-of-the-housing-crunch","status":"publish","type":"post","link":"https:\/\/qa.bluevaultpartners.com\/everybody-wants-a-piece-of-the-housing-crunch\/","title":{"rendered":"Everybody Wants a Piece of the Housing Crunch"},"content":{"rendered":"
March 30, 2022 | Jack Rogers | GlobeSt.com<\/p>\n
In the housing boom that preceded the financial collapse of 2008, everybody wanted a piece of the housing bubble, including banks that bundled subprime mortgages into speculative instruments and house flippers who could turn a property around before the first loan payment came due.<\/p>\n
Everyone made a ton of money, until the music stopped and the bubble burst.<\/p>\n
In 2022, the race to invest in houses is being fueled by the highest inflation rate in 40 years\u2014driven by stratospheric increases in housing prices, including home prices and home-rental prices\u2014coupled with a record tight inventory of available housing.<\/p>\n
Large institutional investors and publicly traded rental firms like Invitation Homes, who have been making high-profile purchases of thousands of houses to increase their SFR portfolios, have been fingered as prime culprits for the supply crunch that is shutting first-time home buyers out of the market in many areas.<\/p>\n
But a closer look at the hottest markets reveals that small investors, including new mom-and-pop landlords who used their home equity to buy property for SFR, are outperforming the larger players in single-family house purchases.<\/p>\n
According to a new report from Bloomberg, mom-and-pop landlords far outnumber new institutional homeowners in several markets where home prices have increased the most, including Phoenix, Atlanta and Tampa.<\/p>\n
In Phoenix, 32 percent of single-family purchases in January were by investors with fewer than 10 properties, according to data from John Burns Real Estate Consulting. Large investors were involved in 12 percent of single-family transactions in Phoenix.<\/p>\n