- Based on information from the 2012 Investment and Vacation Home Buyers Survey, it is clear that after declining for several years, the sales price for investment properties rose 6.4 percent in 2011 to $100,000 from $94,000 in 2010.
- In 2010, 59 percent of investment buyers paid all cash for the recent purchase compared to 49 percent in 2011 as the typical cost of investment properties increased. However, among those who did use a mortgage, 44 percent financed less than 70 percent of the home purchase.
- Investors in 2011 were active in buying distressed properties that were on the market. Twenty‐eight percent of investment property buyers purchased a home in foreclosure, and 21 percent purchased a short sale property. Just half of investment property buyers purchased a home that was not a distressed property.
- The typical investment buyer plans to own their investment home for only 5 years compared to 10 years in 2010. Forty‐eight percent of investment buyers are likely to buy another vacation or investment property in the next two years.
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