Real estate investors face losses as home prices drop.
TL;DR Summary
Real estate investors are struggling in today's housing market, with 13.5% of homes sold in March going for less than what the investor bought the property for, according to Redfin. Flippers, who buy and sell within nine months, fared even worse, with 20.8% selling at a loss. The Federal Reserve's moves to curb inflation have hit housing speculators, who, like other buyers, have to contend with volatile rates, a lack of supply, and softening prices. Rising mortgage rates have also cut into investor profits, with the typical monthly payment for a home up $300 from a year ago.
Topics:business#federal-reserve#flippers#housing-market#mortgage-rates#real-estate#real-estate-investors
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