Wall Street is Going to Own the Housing Market: Hedge Funds buying Homes

Wall Street is buying homes in the US which is contributing to the housing shortage. Wall street buyers are cash purchasers and they are holding long term keeping the number of homes on the market low. Hedge funds like Blackrock and other institutional investors are contributing to the run up in home prices.

There is a shift in how real estate will look in the future because historically only homeowners and individual investors purchased homes. Warren Buffett said in 2010 that he would buy 200,000 homes if he could write a check. This spurned wall street buyers to enter the housing market and buy homes as well.

Leave a Reply

Your email address will not be published. Required fields are marked *