Friday, March 7, 2014

The Boomerang Buyer

Boomerang buyers are the ones that lost their home to foreclosure or short sale between 2007 & 2013. The ones that are re-purchasing, or have already.

Almost a million have already bought a replacement home. About one and a half mill will be trapped in rental housing for a few more years. And another almost three million will become homeowners again in the next seven years. Or so says the article I read today.

A lot of those Boomerang buyers are utilizing the FHA loan program. Which has reduced it's loan limits so those buyers will likely be buying smaller homes.

Which then, in turn, hurts the first time home buyer that isn't a BB (Boomerang Buyer) due to competition created.

Just a tid-bit of info for you today that I found worth sharing.

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