Investors Are Buying Fewer Homes

Investors Are Buying Fewer Homes

Investors are buying fewer homes than pandemic peak.  What impact escalating interest rates will have on investors that buy homes to rent them out is to be determined, although first-quarter investor purchasing activity gives early indication that investors are slowing their pace of homebuying. Redfin Corp. found the number of homes purchased by real estate investors in the first quarter declined 11.5% from the fourth quarter of 2021. Despite that, investor purchases made up a larger share of the housing market, purchasing a record 20% of homes that sold in Q1, an increase from 19.2% in Q4 2021. Bokhari said the expectation is sellers aren't going to be able to sell their homes as quickly as they have, especially as they did last year, which'll result in price cuts. Investors may, therefore, be holding off to take advantage of better deals down the line.

Florida Metros In Top 10 Most Expensive

For Home-buyers

Florida Metros In Top 10 Most Expensive For Homebuyers

Florida metros rise in the ranks of the most expensive for homebuyers All four of Florida's major metros ranked in the top 10 in year-over-year increase in listing prices in May, making them among the most expensive for homebuyers, according to Realtor.com. Orlando ranked at No. 3 with a 32.4% increase 3 with a 32.4% increase, followed by Tampa at 30.6% and Jacksonville at 26.2%. Orlando also moved up 11 spots, tying it with Tampa for the biggest jump among the 50 metro areas.

Real Estate Investors Reveal Highest ROI Renovations

Real Estate Investors Reveal Highest ROI Renovations

Real Estate Investors Reveal Highest ROI Renovations. Amid Inflation Concerns Real Estate Investors Point to Renovation Trends That Net The Highest ROI

• Kitchen

• Flooring

• Master Bathroom

Michael Burry Warns Fed May Alter Course

Michael Burry Warns Fed May Alter Course

Michael Burry of ‘The Big Short’ Fame Warns Fed May Alter Course Michael Burry, the founder of Scion Asset Management who was made famous by Christian Bale in the movie "The Big Short," suggested on Twitter that the "Bullwhip Effect" happening in the retail sector may lead to the Federal Reserve reversing rate increases and its Quantitative Tightening policy. His tweet links to a CNN story about retailers considering letting customers keep items they return rather than having to take the items back and add them to already bulging inventories. Burry has raised concerns about the economy recently. In May, a tweet of his raised the issue of a 2008-like crash.

Existing Home Sales Slide Back To Pre-Pandemic Levels

Existing Home Sales Slide Back to Pre-Pandemic Levels

Existing Home Sales Slide Back to Pre-Pandemic Levels April, May, and June of 2020 were the only 3 months where Existing Home Sales suffered as a result of the pandemic. That number jumped to nearly 6 million in July and didn't show any serious signs of contraction until February of 2022. Rates have risen sharply and the recent trend is not yet showing signs of bottoming. NAR's chief economist, Lawrence Yun, concurs, "Further sales declines should be expected in the upcoming months given housing affordability challenges from the sharp rise in mortgage rates this year. Inventory is ahead of last year's pace, but at 2.6 vs 2.5 months, just barely! 88% of homes sold in May were on the market for less than a month. All-cash sales accounted for 25% of total transactions, down from 26% in April. Individual Investors bought 16% of homes, down from 17%

Orlando Housing Market Weekly Update

Housing Inventory Grows

Join us for our weekly Orlando Housing Market Weekly Update. We review the current housing inventory as it continues to grow as rates increase again this past week. Thursday Morning Live at 9 am.

00:00 Introduction 00:59 Past Weeks News 01:14 30 Year Mortgage Rates 04:55 Local Housing Numbers 08:16 Look At June Housing Numbers 09:22 Why The Increasing Inventory 11:08 Inventory Will Continue To Grow

Orlando Housing Market

May 2022 ORRA Numbers

Mortgage Rates Have a Rough Week. Join Joseph Dionne of Appli Home Loans and I, as we discuss how this can change the market quickly and how the Federal Reserves is trying to quash inflation without bringing the economy to a halt.

'Big Short' Investor Michael Burry Warning

‘Big Short’ investor Michael Burry Warning

'Big Short' investor Michael Burry warns the US economy is on borrowed time — and says consumers will blow through their savings in a matter of months Michael Burry said the US economy could suffer once consumers emptied their savings accounts. The "Big Short" investor expects rising debt and reduced savings to hit growth and company profits. "Charting Total US Personal Savings/GDP," he wrote. "Red line is the all-time low at 1.5%, set in July 2005. The investor of "The Big Short" fame attached a chart showing US personal savings had plunged from over 25% of GDP in spring 2021 to about 3.8% today and were on course to hit a record low of under 1.5% later this year. Burry's view seems to be that consumers are raiding their savings accounts to weather inflation in food, energy, and housing costs and that a recession is likely once those cash reserves are exhausted.

Mortgage Rates Explode Above 6%

Hello Brenden Rendo from The Homes in Orlando Team.

 I just want to do a quick follow up from our video on Friday where we talked about interest rates taking a spike due to inflation worries.

 Well, today, as you can see, it actually was worse.

 It's one of the five worst days in over a decade for mortgage rates, Rates exploded to up over 6.18%.

 Will this continue without the Fed's stepping in and doing something?

 I don't see how that rates pull back.

 The big thing is can they, do they have any bullets left in their gun to help fight inflation?

 We'll find out at their meetings on Wednesday. Take care.

Inflation Hits New Record & Mortgage Rates Spike

Good morning Brenden Rendo with The Homes Orlando Team.

 I just want to take a moment, reach out to everyone to let everyone know what's going on in the market today, inflation numbers came out, hit a new 40 year high 8.6%.

 What does this mean for the housing market?

 Well, as you can see the bond markets following the 10-year T has exploded this morning and as of this moment we're sitting at 3.137%.

 What how is that going to affect you?

 Mortgage rates are going to explode right behind with the 10 year T.

 We very easily could see 6% interest rates coming here in the next few weeks.

 So if you're looking to buy, call your mortgage lender, lock yourself in because I don't see us pulling back from these numbers.

 Not with the way inflation sitting take care. Have a great day.