In a recent article by the Memphis Daily News they spoke about how foreclosures are down by over 10% for loans that are serviced by Wells Fargo. Since 2009 Wells Fargo has helped about 5,200 home owners avoid foreclosure in Shelby County which is a very positive thing. For companies who’s business model is buying foreclosures to flip this is not the best news.
I have been noticing that many real estate investing companies who operate like this are experiencing shortages for investment property to sell to their clients. I know this because I get emails on a weekly basis asking if I have anything they can buy. Companies that operate within specific criteria are now widening their range to supply their buyers so they do not go elsewhere.
With fewer properties available and the amount of competition trying to buy them up leaves the end investor paying a higher premium for today’s properties. This is happening all over the country as we slowly pull out of the recession you will see an increase in building new homes as well as existing retail sales increasing more and more.
If you are an new investor who has been sitting on the sidelines wondering when the right time to make a move is, that time was a long time ago. You are going to miss the boat unless you get going right now. There is no more time to wait. Prices are not going down they are going up.